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प्रश्न
Define the following: Value Addition
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उत्तर
Value Addition: Value addition on a good refers to the increase in the value of good at each successive stage of production. Algebraically, Value Addition is the difference between the total value of the output and the total value of the intermediate consumption.
Value Addition = Total Value of Output – Total Value of Intermediate Consumption.
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संबंधित प्रश्न
Explain the precautions that are taken while estimating additional income by the value-added method.
To include the value of goods or services more than one time while calculating National Income is called:
Distinguish between ‘Value of Output’ and ‘Value Added’.
When calculating the national Income which of the following will not be considered?
Statement 1: AP can take positive values only.
Statement 2: TP can take negative values only.
Calculate National Income and operating Surplus from the following data:
| PARTICULARS | (₹crores) | |
| (i) | Government final consumption expenditure | 900 |
| (ii) | Net factor income from abroad | 210 |
| (iii) | Private final consumption expenditure | 1000 |
| (iv) | Net domestic capital formation | 300 |
| (v) | Profits | 320 |
| (vi) | Rent | 190 |
| (vii) | Net exports | (-) 75 |
| (viii) | Interest | 200 |
| (ix) | Net indirect taxes | 265 |
With the help of a reason, explain why the following are included in calculation of National Income.
Goods supplied free of cost by the government.
What is Circular flow of income?
Which two sectors are involved in the Simple Two-Sector Economy (Basic Model)?
Which condition applies to a Simple Two-Sector Economy (Basic Model)?
Which method measures national income as the total value of final output produced?
Which method measures national income as total factor payments made?
During which phase are factor incomes paid to households?
During which phase do households spend income on goods and services?
What flows in the Real Flow?
Which item is a Leakage?
Which item is an Injection?
