Keerthana
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The difference between GNP and NNP equals

a

transfer payments

b

personal taxes

c

corporate profits

d

depreciation

Answer : Option D
Explanation :

Gross National Product [GNP] is the gross value of all the final products without deducting

the depreciation of fixed capital. Net National

Product [NNP] is the value of net output in an

economy during a period of one year. The difference between the GNP and NNP is equal to Capital depreciation.

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