Suppose you are given the following information about some hypothetical economy and its national income accounts. Use this information to answer the questions that follow (Amounts are in billions of dollars)

Indirect Business Taxes $919.0

Corporate Profits $1208.9

Corporate Profits Taxes $469.4

Retained Earnings $330.8

Proprietor’s Income $1038.4

Rental Income $62.1

Net Interests $1171.1

Exports $1685.7

Imports $2380.4

Income Receipts from rest of world $855.6

Income Payments to rest of world $754.9

Net National Product $12380.8

Government expenditures for Goods and Services $2716.5

Personal current Transfer receipts $1742.3

Social Security Taxes (employee and employer) $981.5

Personal Consumption expenditures $9785.7

Gross Private Domestic Investment $2162.9

Disposable Personal Income $10257.5

1. Find National Income.
2. Find Wages and Salaries.
3. Find the Percentage of Wages and Salaries in National Income.
4. Find Personal Income.
5. Find Personal Income Taxes.
6. Find Personal Saving.
7. Find the percentage of Personal Saving as of the Disposable Personal Income.

Answer rating: 100% (QA)

Solution To find the various components of the national income accounts we can use the following equ... View the full answer