Calculate Value added at factor cost from the following: (a) Purchase of raw materials 30

Question

Calculate Value added at factor cost from the following:

Items	Rs. Crores
(a) Purchase of raw materials	30
(b) Depreciation	12
(c) Sales	200
(d) Excise duty	20
(e) Opening stock	15
(f) Intermediate consumption	48
(g) Closing stock	10

Answer 1

Sales + change in stock = value of output

200 + (cl. St – op. st)

200 + (10 – 15) – 200 – 5 = Rs 195

Value of output – intermediate consumption 

= value added at MP

195 – 48 = Rs. 147

V. A. at FC = V. A. at MP Net indirect tax

= 147 – 20

= Rs. 127 crores