The Difference Between the Total Value Added and the Total

question 54

Multiple Choice

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

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Definitions:

Warranty Work

Warranty work involves repairs or replacements offered at no charge, covered under a product's warranty period to correct defects or malfunctions.

Estimated Expense

An anticipated or projected cost expected to be incurred in the future.

Sales Price

The selling price set for a service or product aimed at consumers.

Contingent Liabilities

Potential liabilities that may occur depending on the outcome of a future event or set of circumstances.