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Why is value added considered as a measuring instrument?

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تم إضافة السؤال من قبل Nadjib RABAHI , Freelancer , My own account
تاريخ النشر: 2017/03/01
Mansoor Mansoor Abdhulrahuman
من قبل Mansoor Mansoor Abdhulrahuman , Accountant , Sylvia Trading WLL

Issue long-term debt to buy inventory Because this is the only one which will increase current assets without increasing current liabilities. Current Ratio = current assets /current liabilities ‎

Abdullah Aziz Eldain Morsi  Elgendy -        CMA  Candidate
من قبل Abdullah Aziz Eldain Morsi Elgendy - CMA Candidate , Regional Receivable Accountant , Amiantit Group of Companies

 being a product whose value has been increased especially by special manufacturing, marketing, or processing value–added goods

MOHAMMED ELATTAR
من قبل MOHAMMED ELATTAR , مدير مالي , TAZWEED FOR AGRICULTURE CROPS

Agreed with the answer, Mr. Sulayman

Ashraf E. Mahmoud (PhD)
من قبل Ashraf E. Mahmoud (PhD) , University Lecturer, Freelancer Consultant and Trainer for Int'l Business & Banking TF. , FreeLancer

Thanks for invitation,

As a matter of fact, "Value added" are reflected in the "Return On Equity".  

 

Soliman Abd  ALmalak Gendy
من قبل Soliman Abd ALmalak Gendy , مدير ادارة مراقبة حسابات , الجهاز المركزى للمحاسبات

Value added is the amount left over after materials and overhead costs have been deducted from sale. _Calclulating value added does not the organization compare its performance with other ci_operatives of traditional companies. _There are many measures : *Value added per worker *Value added turnover *Value added net assets

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