How will you treat the following while estimating National Income of India?
(i) Dividend received by an Indian from his investment in shares of a foreign company.
(ii) Money received by a family in India from relatives working abroad.
(iii) Interest received on loans given to a friend for purchasing a car.
(i) Dividend received by an Indian from his investment in shares of a foreign company is included in National Income of India because it is a part of Net Factor Income from Abroad.
(ii) Money received by a family in India from relatives working abroad is not included in National Income
of India because it is a kind of transfer income.
(iii) Interest received on loans given to a friend for
purchasing a car is not included in National Income because loans are used not for production purpose.