In an economy, the following transactions take place and the final sale is for private consumption, A, B, C and D are four industries
In an economy, the following transactions take place and the final sale is for private consumption, A, B, C and D are four industries. A sells to B for ₹ 20,000. B whose value added is ₹ 40,000, sells half of its output to C and another half to D. C sells all its output to D. D’s whose value added is ₹ 30,000, sells all its output to final product for ₹ 1,30,000. What is value added by C?
Ans – Value added by C = ₹ 40,000
Anurag Pathak Changed status to publish December 21, 2023
Solution:-
Total Value Added (Value of Final Product) = Value added by A + Value added by B + Value added by C + Value Added by D
₹ 1,30,000 = ₹ 20,000 + ₹ 40,000 + ₹ Value added by C + ₹ 30,000
Value added by C = ₹ 1,30,000 – ₹ 20,000 – ₹ 40,000 – ₹ 30,000
Value added by C = ₹ 40,000
Anurag Pathak Changed status to publish November 10, 2023
