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2 September, 02:52

A firm's value added equals 10) A) its revenue minus its wages. B) its revenue minus all of its costs. C) its revenue minus its wages and profit. D) its revenue minus its cost of intermediate goods. E) none of the above

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  1. 2 September, 06:04
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    D) its revenue minus its cost of intermediate goods.

    Explanation:

    The firm value added shows a difference between the revenue and the cost of intermediate goods

    In mathematically,

    Firm value added = Revenue - cost of intermediate goods

    After deducting the cost of intermediate goods from the revenue we can get the firm value added

    Hence, the option D is correct as it denotes the firm value added
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Home » Business » A firm's value added equals 10) A) its revenue minus its wages. B) its revenue minus all of its costs. C) its revenue minus its wages and profit. D) its revenue minus its cost of intermediate goods. E) none of the above
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