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Question : Calculate ‘Sales’ from the following data:

Subsidies = 200, Opening stock = 100, Closing stock = 600, Intermediate consumption = 3000, Consumption of fixed capital = 700, Profit = 750, Net value added at factor cost = 2000

Option 1: 5050

Option 2: 5000

Option 3: 5010

Option 4: 4995


Team Careers360 4th Jan, 2024
Answer (1)
Team Careers360 16th Jan, 2024

Correct Answer: 5000


Solution : The correct answer is  (b) 5000

To calculate Sales, we can use the following formula:

Sales = Net Value Added at factor cost - Subsidies+  Consumption of Fixed Capital -(Closing Stock - Opening Stock) + Intermediate Consumption

Net Value Added at factor cost = 2000

Intermediate Consumption = 3000

Subsidies = 200

Opening Stock = 100

Closing Stock = 600

Consumption of Fixed Capital = 700

Sales = 2000 - 200 +700  - (600 - 100 ) + 3000

Sales = 5000

Therefore, the value of Sales is 5000.

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