From the following information, estimate : (i) Value of output, (ii) Net value added at factor cost, (iii) Prove that income generated is equal to net value at factor cost.

From the following information, estimate : (i) Value of output, (ii) N

1.	From the following information, estimate : (i) Value of output, (ii) Net value added at factor cost, (iii) Prove that income generated is equal to net value at factor cost.
Answer» Correct Answer - Rs. 7300 crores (i) Value of output = Sales+Increase in unsold stock =10625+600 =Rs. 11225 crores (ii) Net Value Added at Factor Cost = Sales+ Increase in unsold stock - Purchase of raw materials - Depreciation- (Indirect taxes- Subsidies) =10,625+600-2,625-500-(1200-400) =Rs. 7300 crores (iii) To prove Income Generated = Net Value Added at Factor Cost Income Generated = Operating surplus + Wages and Salaries + Mixed incomes = 3740+3460+100= Rs. 7300 crores So, Net Value Added at Factor Cost = Income Generated = Rs. 7300 crores