(1) The local value added shall be weighted by the wages or salaries paid to nationals of a Member State expressed as a percentage of the total sales of the approved product and calculated in accordance with the undermentioned formula—
(2) For the purposes of subsection (1), 'V' represents the local value added expressed as a percentage of the total sales of the approved product, and 'W' represents the wages and salaries paid to nationals of a Member State and expressed as a percentage of the total sales of the approved product.