Calculate indirect taxes from the following data: NDP at FC 55915 Subs...
Calculating Indirect Taxes
Step 1: Determine Gross National Product at Market Price (GNP at MP)
The first step in calculating indirect taxes is to determine the Gross National Product at Market Price (GNP at MP). In this case, the GNP at MP is given as 58350.
Step 2: Add Indirect Taxes to GNP at MP
The next step is to add indirect taxes to the GNP at MP. However, the problem does not provide any information on the indirect taxes. Therefore, we cannot calculate the indirect taxes.
Step 3: Subtract Subsidies from GNP at MP
The problem provides subsidies of 1540. To calculate the indirect taxes, we need to subtract the subsidies from the GNP at MP. Therefore, the calculation is as follows:
GNP at MP = 58350
Subsidies = 1540
Indirect Taxes = GNP at MP - Subsidies
Indirect Taxes = 58350 - 1540
Indirect Taxes = 56810
Step 4: Adjust for Factor Income from and to Abroad
The problem provides information on factor income from abroad and factor income to abroad. To calculate the indirect taxes, we need to adjust for these factors. Therefore, the calculation is as follows:
Factor income from abroad = 625
Factor income to abroad = 865
Indirect Taxes = Indirect Taxes - Factor income from abroad + Factor income to abroad
Indirect Taxes = 56810 - 625 + 865
Indirect Taxes = 56450
Step 5: Adjust for Consumption of Fixed Capital
The problem provides information on consumption of fixed capital. To calculate the indirect taxes, we need to adjust for this factor. Therefore, the calculation is as follows:
Consumption of fixed capital = 1625
Indirect Taxes = Indirect Taxes - Consumption of fixed capital
Indirect Taxes = 56450 - 1625
Indirect Taxes = 54825
Step 6: Final Result
The final result of the calculation is 54825. Therefore, the indirect taxes in this scenario are 54825.