Question:
Calculate Net Value Added at Factor Cost (NVAfc) from the following data:
Calculate Net Value Added at Factor Cost (NVAfc) from the following data:
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Depreciation on fixed capital is subtracted from the total to calculate Net Value Added at Factor Cost.
Updated On: Feb 1, 2025
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Solution and Explanation
Depreciation on fixed capital goods = 15/5 = 3
Net Value Added at Factor Cost (NVAfc): \[ NVAfc = (ii) + (iii) + (iv) - {Depreciation} - (vi) \] \[ NVAfc = 200 + (-10) + 10 - 3 - 20 = Rs.57 { lakh} \]
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