CIMA Exam CIMAPRA17-BA1-1 Topic 4 Question 104 Discussion

Actual exam question for CIMA's CIMAPRA17-BA1-1 exam

Question #: 104
Topic #: 4

[All CIMAPRA17-BA1-1 Questions]

A country's gross national product (GNP) will be higher than gross domestic product (GDP) if:

Aindirect taxes are greater than government subsidies

Bthere is a net inflow of factor payments on the balance of payments

Cthe country's imports are greater than its exports

Dgovernment tax income is greater than government expenditure

Show Suggested Answer

Suggested Answer: A, E

by Ilene at Dec 09, 2024, 10:52 AM

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Catrice

2 days ago

I'm not sure about that. I think the answer might be A) indirect taxes are greater than government subsidies. That would also contribute to a higher GNP.

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Jolene

6 days ago

I agree with Cherry. When there is a net inflow of factor payments, it means the country is earning more from foreign investments, which would boost GNP.

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Cherry

8 days ago

I think the answer is B) there is a net inflow of factor payments on the balance of payments.

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