SIE Exam Question 1041: Answer and Explanation

Question: 1041

Which of the following is the formula to calculate gross national product (GNP)?

  • A. GDP + Net income inflow from abroad - Net income outflow to foreign countries
  • B. GDP + Net income inflow from abroad + Net income outflow to foreign countries
  • C. GDP - Net income inflow from abroad - Net income outflow to foreign countries
  • D. GDP - Net income inflow from abroad + Net income outflow to foreign countries

Correct Answer: A

Explanation:

GNP = GDP + Net income inflow from abroad - Net income outflow to foreign countries

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