General Knowledge - Indian Economy - Discussion

Discussion Forum : Indian Economy - Indian Economy (Q.No. 66)
66.

In utensils worth Rs 1000 are produced with copper worth Rs 500, wages paid are Rs 100, other material purchased is worth Rs 100 and depreciation of machinery is zero, then what is the value added in process?

Rs 1000
Rs 500
Rs 400
Rs 300
Answer: Option
Explanation:
No answer description is available. Let's discuss.
Discussion:
9 comments Page 1 of 1.

Anu said:   1 decade ago
can anyone plz tell how is value added calculated in this question....pls reply ASAP..

Ashini said:   1 decade ago
1000-500-100-100 = 300

Snigdha mukherjee said:   1 decade ago
The amount of intermediate consumption is deducted from the total amount.

Here it is 1000 - 500 - 100 - 100 = 300

Ria said:   1 decade ago
In calculation of value added should we subtract the wage payment? I guess we should minus the value of intermediate purchase only, here copper & other material.
(1)

Devi said:   1 decade ago
Worth of utensils=1000.

Expenses include copper worth, wage& material purchased=500+100+100=700.

Value added=1000-700=300.
(2)

Kotrsha kunchur said:   1 decade ago
1000-500-100-100 = 300 this is the process of value added.
(1)

Mahaveer said:   10 years ago
It is the value added to all the input costs i.e., copper, wages, and other materials.

Value addition=Output value-Input value.
(1)

Momo said:   7 years ago
Wages are not subtracted.

Value added is thus defined as the gross receipts of a firm minus the cost of goods and services purchased from other firms. Value added includes wages, salaries, interest, depreciation, rent, taxes and profit.
(1)

Muskan said:   5 years ago
Value added(GDP MP) = value of output-intermediate cost.

GDPMP = 1000 - (500+100+100).
=1000 - 700.
=300.

Therefore, value-added is 300.
(3)

Post your comments here:

Your comments will be displayed after verification.