What is Gross Value Added at Factor Cost?

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What is Gross Value Added at Factor Cost? We know that GDP at Market Price is equal to Total Value Added by All Sectors/Companies From this Net Indirect Taxes is Reduced So we get Gross Value Added at Factor Cost GDP Mp (Gross Value Added at Market Price) xx Less Net Indirect Taxes (Tax-Subsidy) xx Gross Value Added At Factor Cost xx Example 4 Calculate Gross Value added at Factor Cost Particulars Amt in thousands Sales 500 Opening Stock 30 Closing Stock 20 Purchase of Intermediate Products 300 Purchase of Machinery 150 Subsidy 40 -a- -ea- Note Net Indirect Taxes = Taxes - Subsidy = 0 - 40 = - 40 Sometimes Value of Output is not given in question It is calculated by multiplying Quantity and Price per unit OUTPUT=Price per Unit* No of Units Sold Example 10 Calculate Gross Value added at Factor Cost Particulars Amt Units of Output Sold 1000 Price per unit of output 30 Depreciation 1000 Intermediate Cost 12000 Closing Stock 3000 Opening Stock 2000 GST 6000 -a- -ea- Sometimes Sales, Opening and Closing Stock is given in Question We have to calculate value of Output = Sales + Change in Stock = Sales + Closing Stock-Opening Stock Example 5 Calculate Gross Value Added at Market Price Particulars Amt in lakhs Depreciation 20 Domestic Sales 200 change in stock -10 Exports 10 Single use Producer goods 120 Net Indirect Taxes 20 -a- -ea- NCERT Questions No questions in this part