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In microeconomics, value added may be defined as the market value of aggregate output of a transformation process, minus the market value of aggregate input(or aggregate inputs) of a transformation process. One may describe value added with the help of Ulbo de Sitter's design theory for production synergies. He divides transformation processes ...
Marx's term is the German word "Mehrwert", which simply means value added (sales revenue minus the cost of materials used up), and is cognate to English "more worth". It is a major concept in Karl Marx's critique of political economy. Conventionally, value-added is equal to the sum of gross wage income and gross profit income.
Addition (usually signified by the plus symbol +) is one of the four basic operations of arithmetic, the other three being subtraction, multiplication and division. [2] The addition of two whole numbers results in the total amount or sum of those values combined. The example in the adjacent image shows two columns of three apples and two apples ...
e. A value-added tax ( VAT or goods and services tax ( GST ), general consumption tax (GCT) ), is a consumption tax that is levied on the value added at each stage of a product's production and distribution. VAT is similar to, and is often compared with, a sales tax. VAT is an indirect tax because the consumer who ultimately bears the burden of ...
In mathematics, two sequences of numbers, often experimental data, are proportional or directly proportional if their corresponding elements have a constant ratio. The ratio is called coefficient of proportionality (or proportionality constant) and its reciprocal is known as constant of normalization (or normalizing constant ). Two sequences ...
t. e. In ethics, intrinsic value is a property of anything that is valuable on its own. Intrinsic value is in contrast to instrumental value (also known as extrinsic value), which is a property of anything that derives its value from a relation to another intrinsically valuable thing. [ 1] Intrinsic value is always something that an object has ...
Value proposition. In marketing, a company’s value proposition is the full mix of benefits or economic value which it promises to deliver to the current and future customers (i.e., a market segment) who will buy their products and/or services. [1] [2] It is part of a company's overall marketing strategy which differentiates its brand and ...
Added value in financial analysis of shares is to be distinguished from value added. It is used as a measure of shareholder value, calculated using the formula: Added Value = The selling price of a product - the cost of bought-in materials and components. Added Value can also be defined as the difference between a particular product's final ...