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In national income accounting, the term ''

In national income accounting, the term ''net'' is used to indicate that a value...........

A.

Includes income of foreigners

B.

Includes income of citizens

C.

Includes depreciation

D.

Excludes depreciation

Correct answer is D

In national income accounting, net national income (NNI) is the gross domestic product plus net receipts of wages, salaries, and property income from abroad, minus the depreciation of fixed capital assets through wear and tear and obsolescence.

NNI = GDP + factor income received from abroad - depreciation of Fixed Capital.