GDP for 2015 is INR 1934.

Contribution by three sectors

namely primary (17.9%), secondary (24.2%) and Tertiary
(57.9%).
From historical record the YoY GDP growth rate had
been found to be 7.75(2020), 7.7(2019), 7.65(2018),
7.55(2017), 7.47(2016). Based on the above forecasting
the sector-wise GDP till 2020.
The question is based on Royalty Relief
Method

Rate of Discount is 18%. Average of Brand

Strength Index (BSI from 12 parameters) is
54. its division across sector is Primary 20,
Secondary 20 and Tertiary sector is 14.
National Royalty Rate based on
comparable research is 6%-10% for Tertiary
sector. 2-6% for primary sector. 4-8% for
secondary sector.
Calculate the Rate Applicable.
rate of taxation is 26%.
Forecast the Nation’s Present Brand Value
till 2020 using the Royalty Relief Method of
Valuation.
Contributions of Sectors in
Overall Revenue Primary Secondary Tertiary
17.90% 24.20% 57.90%

2015
Secondary
Primary Sector Sector Tertiary Sector
Revenue 346.186 468.028 1119.786
Royality before tax 9.693208 22.465344 73.4579616
Tax (with Taxation rate at26%) 2.52023408 5.84098944 19.099070016
Royality after tax 7.17297392 16.62435456 54.358891584
Present value of royalities 7.17297392 16.62435456 54.358891584

BV (Sum of all the values)

2015 2016 2017
Revenue 1934 2078.4698 2235.3942699
Royality before tax 105.6165136 113.5060671659 122.0757752369
Tax (with Taxation rate at26%) 27.460293536 29.5115774631 31.7397015616
Royality after tax 78.156220064 83.9944897028 90.3360736753
Present value of royalities 78.156220064 71.1817709346 64.8779615594

Brand Value 376.7529163294

 Royality Relief Method
Rate of Average Brand
discount strength Index
18% 54

2016 2017

Total Primary Secondary Tertiary Total Primary Secondary Tertiary Total

1934 372.04609 502.9896916 1203.434 2078.47 400.1356 540.9654 1294.293 2235.3942699
105.617 10.417291 24.1435052 78.94527 113.5061 11.2038 25.96634 84.90564 122.0757752369
27.4603 2.7084956 6.277311351 20.52577 29.51158 2.912987 6.751248 22.07547 31.7397015616
78.1562 7.7087951 17.86619385 58.4195 83.99449 8.290809 19.21509 62.83017 90.3360736753
78.1562 6.5328772 15.14084224 49.50805 71.18177 5.95433 13.79998 45.12365 64.8779615594

2018 2019 2020

2406.4 2591.6949 2792.551233
131.415 141.53349 152.5023399
34.1678 36.798708 39.65060837
97.2468 104.73479 112.8517315
59.1874 54.021037 49.32853191
 Brand Strength Index among Sectors National Royality rates across Sectors

Primary Secondary Tertiary Primary Secondary

20 20 14 Range Values 2%-6% 4%-8%
Actual Values 2.80% 4.80%

2018 2019

Primary Secondary Tertiary Total Primary SecondaryTertiary

430.7459 582.3492674 1393.306718366 2406.4 463.9133835695 627.1902 1500.591
12.06089 27.95276484 91.4009207248 131.415 12.9895747399 30.10513 98.43879
3.13583 7.267718858 23.7642393884 34.1678 3.3772894324 7.827333 25.59409
8.925056 20.68504598 67.6366813364 97.2468 9.6122853076 22.27779 72.84471
5.432065 12.58955759 41.1657723869 59.1874 4.9579098264 11.49064 37.57249
al Royality rates across Sectors

Tertiary
6%-10%
6.56%

2020

Total Primary SecondaryTertiary Total

2591.6948802765 499.8667 675.7974 1616.887 2792.5512335
141.5334940899 13.99627 32.43828 106.0678 152.502339882
36.7987084634 3.639029 8.433952 27.57763 39.6506083693
104.7347856265 10.35724 24.00432 78.49017 112.851731513
54.0210372676 4.527244 10.49251 34.30878 49.3285319117