Value-Added Definition

Below please find a definition of “Value-Added”

Financial Analysis Training & Glossary TermsValue-Added: The term value-added can be interpreted in a couple different ways. Sometimes an enhancement is made to a product before it is introduced to the customers. The product with the enhanced feature becomes a value-added product. Another way of interpreting the term would be the difference between the cost of materials purchased by a company and the price at which the goods are sold by the company that use those materials.

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