119 reference year. The value shown should be the actual amount charged to customers on delivery. Excluded are indirect taxes, rebates, discounts and duty drawbacks.
11.6.3 Indirect Taxes These are taxes paid indirectly when consumer buys goods e.g. Value Added Tax (VAT), excise duty, stamp duty and the like.
11.6.4 Discount Reduction to a basic price of goods or services. Are the amount of money which may be taken off the full price.
11.6.5 Rebates The partial amount of money given to a customer by which a debt, tax or price may be reduced after they have made a purchase. For instance, there is often a rebate if the account is settled before a given date. Typically redeemed by a customer through a specified process, such as submitting a form or proof of purchase.
11.6.6 Duty Drawback The amount paid back to the establishment as duty surcharge. Is the refund of custom duties and fees paid on imported merchandise that is either re-exported or destroyed under custom supervision.
11.6.7 Profits from Sale of Fixed Assets This refers the financial gain realized when a company sells a long – term assets, such as property, equipment, or vehicles, for more than it carrying value or book value on the balance sheet. This is obtained by calculating the difference between the sales value (market price) and the book value on the balance sheet and any accumulated depreciation of the fixed assets sold.
11.6.8 Royalties in Industrial Sector This refers to payments made by one company (the licensee) to another (the Licensor) for the right to use intellectual property such as patents, trademarks, copyrights, or proprietary technology in the production or resale of goods or services.
11.6.9 Dividends Refers to payments made by a company to its shareholders out of its profits or reserves. They represent a portion of the company's earnings that is distributed to shareholders as a return on their investment in the company's stock.
120 11.6.10 Interest Interest is the cost of borrowing money or the return on invested funds, expressed as a percentage of the principal amount. It also happens, when money is invested and receive as income earned on your investment.
11.6.11 Total Income It is the sum of all incomes received by the establishment. It includes sales of own goods, sales of trade goods, receipts on industrial and other services rendered to others and other receipts received by the establishment.
11.6.12 Installed Capacity of Production It is the ability or efficiency of a machine to produce. It represents the maximum production, which could be achieved (as specified by manufacturers) if all combinations of production such as labour, availability of raw materials, power, maintenance and repair, remain normal.
11.6.13 Producer Price Index (PPI) of the Manufacturing Sector It is the measure of the average change in the selling prices (ex-factory) received by manufacturing establishments. In Tanzania, PPI is being measured by surveying establishments each engaging an average of 50 or more persons.
11.6.14 Other payments beneficial to employees
This is the payment by the employer on accounts incurred by the employees such as
medical bills, school fees, telephone accounts and so on. If these are for the employees
just because of their employment, they must be counted as part of their earnings.
11.7 Revenue Revenue is a business term for the amount of money that a company/business receives from its activities in a given period, mostly from sales of products and/or services to customers. Gross revenue: Gross revenue is the money generated by all of the company's operations, before deductions for expenses.
11.8 Sales
Sales refer to the transactions in which goods or services are exchanged for money or other
consideration between a seller and a buyer. It is the process of selling goods or services to
customers in exchange for payment.
121 11.9 Purchases Ownership of a security or other asset in exchange for money or value, which includes the purchase of goods for resale and for other purposes.
11.9.1 Purchase of Goods for Resale
To achieve its goals of making profits, a trading business buys goods to sell after adding
some mark-up to cover costs and make a profit. Traders may buy and sell goods without
changing them in any way, or they may merely unpack them from large bulky
containers and sell them in small packets or small quantities.
11.9.2 Running Expenses and Other Costs
These include costs for fuel used to run the business, vehicle registration and business
license fees, depreciation, electricity, water charges, bank charges, interests, insurance,
postage and telephone, advertisement, rents paid, repair, production tax and other costs
of this nature.
11.10 Inventory
Inventory refers to the goods, raw materials, work-in-progress (WIP), or finished products
that a company holds for the purpose of eventual sale or use in its operations.
It includes opening stock and closing stock at the start and the end of the reference period.
It represents the value of trading goods held. Those values may change for the following
reasons:
a) The real level or quantity of goods has changed over time;
b) The type of goods carried has changed from low-value goods to high-value
goods or vice versa; and
c) The prices of goods have changed a lot over the period
11.10.1 Investment Expenditure
Investment expenditure refers to the spending by establishment on capital goods or
assets that are expected to generate income, provide benefits or services over an
extended period. e.g. cost of housing, other buildings, vehicles, machinery and other
office equipment.
11.10.2 Additions
This is the value assigned to fixed assets, capital and inventory, acquired by the
establishment during the reference period. It also includes all the costs actually incurred
in their acquisition and installation.
122 a) Capital Additions: Capital additions are investments made by a company to expand its productive capacity or improve its operations. These investments may include expenditures on new facilities, technology upgrades, or infrastructure improvements.
b) Additions to Inventory: In inventory management, additions refer to new inventory items that are purchased, produced, or otherwise acquired by a company. These additions increase the quantity of inventory on hand and are tracked to ensure accurate stock levels. c) Additions to Fixed Assets: Additions to fixed assets refer to improvements or enhancements made to existing fixed assets, such as renovations, upgrades, or additions to property, plant, or equipment.
11.10.3 Intermediate or Production Costs
Intermediate consumption/production costs of industries cover durable and non-durable
goods and services used up in production, including repairs and maintenance of the
capital stock, research and direct outlays in the financing of capital formation such as
transfer costs involved in purchases of land and intangible assets. The consumption of
materials and supplies is the total cost of purchases adjusted by change in stocks of raw
materials.
11.10.4 Inventory of Working Capital
Value of stocks of materials and stores, finished products and work in progress (WIP)
at the beginning and at the end of the accounting year. It reflects the amount of capital
available to cover day-to-day operational expenses and short-term obligations.
11.10.5 Expenditure on Fixed Assets and Depreciation
Capital expenditure on land, buildings and structures, machinery/equipment, vehicles
and other fixed assets during the accounting year. Allocating the cost of fixed assets
over the course of their useful lives in order to represent the asset's declining value over
time is known as depreciation.
11.10.6 Basic Price
The basic price is the amount receivable by the producer exclusive of taxes on products
and inclusive of subsidies on products. It includes taxes on production.
123
11.10.7 Purchasers’ Price
The purchasers’ price is the amount payable by the purchaser exclusive of deductible
taxes on products (e.g. deductible value added tax).
11.10.8 Inputs/Purchases
Value of raw, packaging and chemical materials consumed, cost of re-sales, services
received and other costs.
11.10.9 Gross Operating Surplus
Gross operating surplus is defined as the excess of value added over the cost of workers’
compensation.
11.10.10
Expenditure on Fixed Assets
This is the sum of the cost of new or old capital equipment acquired and value of assets
produced on own account construction. Improvements and major alterations to existing
fixed assets are also included.
11.10.11
Gross Additions to Fixed Assets
This is the total amount of capital expenditures made over a specific time period,
usually a fiscal year, to acquire, upgrade, or build new fixed assets.
124 CHAPTER TWELVE WATER, SANITATION AND HYGIENE STATISTICS 12.0 Introduction This section includes activities related to the management (including collection, treatment and disposal) of various forms of waste, such as solid or non-solid industrial or household waste, as well as contaminated sites. The output of the waste or sewage treatment process can either be disposed of or become an input into other production processes. Activities of water supply are also grouped in this section, since they are often carried out in connection with, or by units also engaged in, the treatment of sewerage. 12.1 Safe Water Water is drawn from improved sources which include piped water, protected wells and springs that have been enclosed to prevent contamination. According to the National Water Policy of 2002, safe water should be available within a radius of 400 meters from each home.
12.2 Piped Water Water is provided within a housing unit by pipe from community-wide systems or individual installations such as pressure tanks and pumps.
12.3 Ground Water Water that is found beneath the Earth's surface in the pores and spaces of rock, soil, and sediment. It accumulates due to precipitation that infiltrates the ground and percolates downward until it reaches a zone where the spaces between particles are filled with water. Normally it stored or flowing below the surface of the ground and not apparent on the surface of the ground.
12.4 Housing Unit with Piped Water
Housing units with piped water means water supply inside the housing unit or outside the
housing unit but within 100 meters from the door.
12.5 Access to Safe Water Access to an adequate amount of safe drinking water is located within a convenient distance from a user’s dwelling. It is important to note that the concepts of access, adequate amount, safe and convenient distance vary from country to country.
12.6 Water Pollution The presence in water of harmful and objectionable material obtained from sewers, industrial wastes and rainwater run-off in sufficient concentration to make it unfit for use.
125 12.7 Rural Water Supply Services Coverage Access to clean and safe water in the community by households within four hundred meters to a water source.
12.7.1 Percentage of People with Access to Improved Water Source Percentage of number of people in the district or region with access to clean and safe water to the total district or region population. the population served with water within 400m to a water source in which time taken to fetch some water should not exceed 30 minutes (go, wait, collect water and return home).
12.7.2 Percentage of Functional Water Points (Improved Water Source) This is the ratio of the number of functional water points built in the rural and peri urban areas to the total number of water points in the rural and peri urban areas. It is expressed in to percentage.
12.7.3 Number of Water Points Built The number of water points built in the rural areas to supply clean and safe water services to the group of people within 400m with time of 30 minutes (go, collect, return to be taken into consideration.
12.7.4 Percentage of people with access to improved sanitation facilities The ratio of the number of people with adequate sanitation facilities in the district (region) to the total population in the district (region).
12.7.5 Percentage of Water Points with Actively Functioning Water and Sanitation Committees It is defined as the number of water points built in rural areas to supply clean and safe water services with actively functioning water and sanitation committees to the total number water points built in rural areas.
12.7.6 Percentage of Water and Sanitation Committees with Women Holding Key Positions Is the ratio of the number of water committees with women holding key positions in rural and peri urban areas to the total number of existing water committees in rural and peri urban areas.
12.7.7 Number of People Sensitized and Trained on Sanitation It is defined as the number of people sensitized and trained on water and sanitation in the rural and peri urban areas.