To calculate GDP using the value-added method, one would add up

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The value-added method involves adding up the value added by each firm involved in the production of final goods and services. This means that only the value added at each stage of production is counted, in order to avoid double counting of intermediate goods and services. The market value of final goods and services (A) and intermediate goods and services (D) are not added directly in this method. The underground economy (B) and after-tax profits of firms (E) are also not directly relevant for calculating GDP using the value-added approach.

To Calculate GDP Using the Value-Added Method, One Would Add