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The difference between GNP and NNP equals
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- corporate profits
- personal taxes
- transfer payments
- depreciation
- corporate profits
Correct Option: D
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.