Question

Calculate the value of Net Value Added at Factor Cost (NVA_FC):

S. No.	Particulars	Amount (In ₹ crore)
(i)	Operating Surplus	3,740
(ii)	Increase in unsold stock	600
(iii)	Sales	10,625
(iv)	Purchase of raw materials	2,625
(v)	Consumption of fixed capital	500
(vi)	Subsidies	400
(vii)	Indirect taxes	1,200

Answer 1

NVA_FC = Sales + Change in Stock − Purchase of Raw Materials − Consumption of Fixed Capital + Subsidies − Indirect Taxes

NVA_FC = ₹ (10,625 + 600 − 2,625 − 500 + 400 − 1200)

= ₹ (11,225 – 2,625 – 500 + 400 – 1,200)

= ₹ (8,600 – 500 + 400 – 1,200)

= ₹ (8,100 + 400 – 1,200)

= ₹ (8,500 – 1,200)

NVA_FC = ₹ 7,300 crore