Which statements are true in terms of basic national income aggregates:

(A) GNP at factor cost measures the value of output received by the factors of production belonging to a country in a year.

(B) GDP is the market value of all intermediate goods and final goods and services produced within a domestic territory of a country measured in a year.

(C) NDP at factor cost is the income earned by the factors in the form of wages, profits, rent, interest, etc., within the domestic territory of a country.

(D) GDP at factor cost is gross domestic product at market prices, less net product taxes.

Choose the correct answer from the options given below:

(A) GNP at factor cost measures the value of output received by the factors of production belonging to a country in a year -> This is TRUE. GNP at factor cost represents income earned by factors of production owned by residents of a country.

(B) GDP is the market value of all intermediate goods and final goods and services produced within a domestic territory of a country measured in a year -> This is FALSE. GDP includes only FINAL goods and services, not intermediate goods. Including intermediate goods would lead to double counting.

(C) NDP at factor cost is the income earned by the factors in the form of wages, profits, rent, interest, etc., within the domestic territory of a country -> This is TRUE. NDP at factor cost = GDP at factor cost - Depreciation, representing factor incomes within domestic territory.

(D) GDP at factor cost is gross domestic product at market prices, less net product taxes -> This is TRUE. GDP at factor cost = GDP at market prices - Net indirect taxes (indirect taxes - subsidies).

Hence, Option 4: (A), (C) and (D) only -> Statement B is incorrect because GDP measures only final goods and services to avoid double counting. Intermediate goods are already included in the value of final goods. Statements A, C, and D correctly define their respective national income aggregates. -> correct