Suppose a jar of orange marmalade that is ultimately sold to a customer at The Corner Store is produced by the following production process: What is the value added of Citrus Growers Inc.?

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:  What is the value added of Citrus Growers Inc.?

Quizplus · Accepted Answer

Value added is computed by subtracting the cost of purchased inputs from the revenues. So value added is $0.75 - 0 = $0.75.

Suppose a Jar of Orange Marmalade That Is Ultimately Sold