Method to get value addition

[Rajesh Kumar]

Please explain what is the method to get value addition of a final manufactured product and traded goods.

[Ganeshan Kalyani]

Manufacturing charges + fixed cost + margin = sale value. I have given a rough formula. A qualified knowledge of a Cost Accountant is required to arrive at a price of a product to be sold.

[KASTURI SETHI]

I agree with the views of Sh.Ganeshan Kalyani Ji.

AI Summary

Discussion on Calculating Value Addition for Manufactured Products Under GST; Importance of Cost Accountant's Role Highlighted A user inquired about the method to determine the value addition of a final manufactured product and traded goods under the Goods and Services Tax (GST). One respondent suggested a rough formula: manufacturing charges plus fixed cost plus margin equals sale value, emphasizing the need for a Cost Accountant's expertise to accurately price a product. Another participant concurred with this view, supporting the initial response.