Question

write down the steps of value added method to find out national income?​

Answer 1

Answer:

What is the Value/Product Added Method Formula? Ans. – The formula behind the product method of measuring national income is: Value Added or Value Addition = Value of Output - Intermediate Consumption.

Explanation:

The value-added method focuses on the value added to a product at each stage of its production. Next, the income method focuses on the income received on the factors of production such as land and labor. And finally, the expenditure method focuses on the various types of expenditure based on consumption and investment. hope it help.u

Answer 2

Answer:

Following steps are involved in estimating national income by Value added method. ... (iv) Compute Domestic Income (NDP at FC) by adding up NVA at FC of all industrial sectors. (v) Estimate net factor income from abroad and add it to Domestic income for deriving National Income (NNP at FC).