Economics 9708 · AS & A Level · National income statistics

National income statistics — practice question

After a company merger, a director is made redundant. He had been paid a salary of $80 000. He has an entitlement to an annual private pension of $30 000. In the first year after becoming redundant, he gains $40 000 from consultancy fees and cuts his spending by $8000 by dismissing his gardener. What is the change in measured national income in that first year?

  • A+ $70 000
  • B+ $60 000
  • C- $80 000
  • D- $18 000

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