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36. INCOME METHOD
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PRODUCTION
METHOD
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1.
Meaning
The
national income is calculated on the basis of income distributed to the factors
of production.
2.
Formula
National
Income = Rent + Wages + Interest + Profit
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The
national income is calculated on the basis of the gross value of final
production of goods and services manufactured in various sectors. i.e.
primary, secondary and tertiary, during a given period of time.
National Income = Value of Goods and
Services of primary sector +Secondary Sector + Tertiary Sector.
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INCOME METHOD PRODUCTION METHOD
