Using the following information, calculate the Net Value Added at Factor Cost. Sales 25000 Excise Duty 5000 Depreciation 1000 Change in Stock -500 Intermediate Cost 7000 a. 11500 b. 10500 c. 12500 d. 11000

Using the following information, calculate the Net Value Added at Factor Cost. Sales 25000 Excise Duty 5000 Depreciation 1000 Change in Stock -500 Intermediate Cost 7000 a. 11500 b. 10500 c. 12500 d. 11000

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Using the following information, calculate the Net Value Added at Factor Cost.

Sales 25000

Excise Duty 5000

Depreciation 1000

Change in Stock -500

Intermediate Cost 7000

11500

10500

12500

11000

Definition Video Definition Accounting method wherein the cost of a tangible asset is spread over the asset's useful life. Depreciation usually denotes how much of the asset's value has been used up and is usually considered an operating expense. Depreciation occurs through normal wear and tear, obsolescence, accidents, etc. Video

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