Suppose a jar of orange marmalade that is ultimately sold to a customer at The Corner Store is produced by the following production process: $$\begin{array} { | l | c | r | }
\hline { \text { Name of Campany } } & \text { Revenues } & \text { Cast af Pur chased Inguts } \
\hline \text { Citrus Growers Inc. } & \$ 0.75 & \mathbf { 0 } \
\hline \text { Florida Jarn Cormpany } & \$ 2.00 & \$ 0.75 \
\hline \text { The Corner Store } & \$ 2.50 & \$ 2.00 \
\hline
\end{array}$$
What is the value added of The Corner Store?

Question

Suppose a jar of orange marmalade that is ultimately sold to a customer at The Corner Store is produced by the following production process: $$\begin{array} { | l | c | r | } 
\hline { \text { Name of Campany } } & \text { Revenues } & \text { Cast af Pur chased Inguts } \
\hline \text { Citrus Growers Inc. } & \$ 0.75 & \mathbf { 0 } \
\hline \text { Florida Jarn Cormpany } & \$ 2.00 & \$ 0.75 \
\hline \text { The Corner Store } & \$ 2.50 & \$ 2.00 \
\hline
\end{array}$$  
What is the value added of The Corner Store?

Quizplus · Accepted Answer

The value added by The Corner Store is the difference between its sales revenue ($2.50) and the cost of its purchased inputs ($2.00), which equals $0.50.

Suppose a Jar of Orange Marmalade That Is Ultimately Sold