Correct Answer: Personal savings

Solution : The correct answer is (b) Personal savings.

National income refers to the total income earned by individuals, businesses, and government entities within an economy during a specific period. It is a measure of the overall income generated within a country.

Personal savings is not included in the calculation of national income. Personal savings represent the portion of income that individuals choose to save or set aside for future use rather than spending it. While personal savings contribute to the accumulation of wealth at the individual level, they are not considered as part of national income because they are not currently being spent or contributing to economic activity.