Question

Study the following table and answer the questions:

Production Stage	Value of Input (₹)	Value added (₹)	Value of Output (₹)
Sugar cane (Farmer)	0	25	25
Sugar (Manufacturer)	`square`	15	40
Retailer	40	`square`	50
Total Value			`square`

Questions:

1. How much is the value of input for a manufacturer?
2. How much value is added by the retailer?
3. How much is the final value of the product?
4. Which method of measuring national income is represented by the above table?

Answer 1

1. The manufacturer's input value is ₹25.
2. The retailer's value added is ₹10.
3. The product's final value is ₹115.
4. The table depicts the output technique of assessing national income (using a value-added approach).