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Calculate the value added by firm B from the following information. 1. Opening stock of firm B 20 2.Closing sick of form B 70 3.Sales by firm A to from B 100 4.Sales by firm B to households 250 5.Purchase by firm C from firm B 50 6. Salez by firm A to firm C 100?
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Calculate the value added by firm B from the following information. 1....
Value Added by Firm B

Opening Stock: 20
Closing Stock: 70
Sales by Firm A to Firm B: 100
Sales by Firm B to Households: 250
Purchase by Firm C from Firm B: 50
Sales by Firm A to Firm C: 100

Calculating the Value Added:

1. Determine the Cost of Goods Sold (COGS) for Firm B:

COGS = Opening Stock + Purchases - Closing Stock
COGS = 20 + 50 - 70
COGS = 0

2. Calculate the Gross Value Added (GVA) for Firm B:

GVA = Sales - COGS
GVA = (100 + 250) - 0
GVA = 350

3. Determine the Value Added by Inputs from Other Firms:

Value Added by Inputs = Sales to Firm B by Other Firms - Purchases from Other Firms
Value Added by Inputs = 100 - 50
Value Added by Inputs = 50

4. Calculate the Net Value Added (NVA) for Firm B:

NVA = GVA - Value Added by Inputs
NVA = 350 - 50
NVA = 300

Therefore, the value added by Firm B is 300. This means that the inputs from other firms (such as Firm A and Firm C) added value to the products or services produced by Firm B, resulting in a total value added of 300.
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Calculate the value added by firm B from the following information. 1....
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Calculate the value added by firm B from the following information. 1. Opening stock of firm B 20 2.Closing sick of form B 70 3.Sales by firm A to from B 100 4.Sales by firm B to households 250 5.Purchase by firm C from firm B 50 6. Salez by firm A to firm C 100?
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Calculate the value added by firm B from the following information. 1. Opening stock of firm B 20 2.Closing sick of form B 70 3.Sales by firm A to from B 100 4.Sales by firm B to households 250 5.Purchase by firm C from firm B 50 6. Salez by firm A to firm C 100? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Calculate the value added by firm B from the following information. 1. Opening stock of firm B 20 2.Closing sick of form B 70 3.Sales by firm A to from B 100 4.Sales by firm B to households 250 5.Purchase by firm C from firm B 50 6. Salez by firm A to firm C 100? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Calculate the value added by firm B from the following information. 1. Opening stock of firm B 20 2.Closing sick of form B 70 3.Sales by firm A to from B 100 4.Sales by firm B to households 250 5.Purchase by firm C from firm B 50 6. Salez by firm A to firm C 100?.
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