Final answer:
Potential Gross Income (PGI) is the total possible income from a property without deductions for vacancies or expenses. Personal income is part of GDP given to households and disposable income is what remains after taxes and transfers. Gross National Income (GNI) accounts for citizens' income both domestically and abroad. Option a
Step-by-step explanation:
The Potential Gross Income (PGI) is best defined as the total income attributable to property at full occupancy before vacancy and operating expenses are deducted. It represents the maximum amount of income that can be produced by a property if it was fully rented and had no vacancy losses. PGI does not take into account any expenses related to operating the property, it simply reflects the earning capability at 100% occupancy.
Personal income, on the other hand, is the portion of Gross Domestic Product (GDP) that is directly received by households. It translates to real money that individuals receive in the forms of wages, profits, rent, and so on. Disposable income is what is left of the personal income after taxes are paid to the government and after transfers, like welfare payments, are added.
Gross National Income (GNI) includes the total income produced by the nationals of a country, which encompasses income earned both domestically and abroad. This considers not just the output of goods and services, but also the income such as remittances from abroad, making it an indicator of a nation's wealth. Option a