Question

Calculate Sales from the following table:

	(₹ in lakhs)
(i) Subsidies (ii) Opening stock (iii) Closing stock (iv) Intermediate consumption (v) Depreciation (vi) Profit (vii) Net value added at factor cost (viii) Exports	200 100 600 3000 700 750 2000 100

Answer 1

Dear student,

Net value added at factor cost = Rs 2000 (given)
we know that,
Gross value added at market price= GVA at MP= NVA at FC + Depreciation + Net indirect taxes (indirect taxes - subsidies)

GVA at MP= 2000 + 700 + (0-200)= Rs 2500 (in lakhs)

also, GVA at MP = value of output - intermediate consumption
2500 = value of output - 3000

value of output = 2500 + 3000 = Rs 5500 (in lakhs)

and we know that,

value of output = sales + change in stock (closing stock - opening stock)
5500= sales + (600-100)
sales = 5500 - 500 = Rs 5000 ( in lakhs)

Regards!!