The difference between the total value added and the total costs incurred is called the ________ of the value chain.
A) actual value
B) total margin
C) total revenue
D) gross turnover
E) taxable income

Question

Quizplus · Accepted Answer

The term used to describe the difference between the total value added and total costs incurred is total margin. This represents the profit generated by the value chain. Option A, actual value, is not a commonly used term in this context. Option C, total revenue, refers to the total amount of money generated by the sales of goods or services in the value chain, which is not necessarily the same as the total margin. Option D, gross turnover, also refers to the total sales made by the value chain, but does not take into account the costs involved in producing those sales. Option E, taxable income, is a term used in accounting to describe the profits that are subject to tax, but does not specifically relate to the value chain.

The Difference Between the Total Value Added and the Total