Value added (See Chapter 9 of the Vernimmen) The value added by the company to goods and services purchased from third parties through its activities. On the by-nature income statement format, value added is equivalent to the sum of gross trading profit and profit on raw materials used, less other goods and services purchased from third parties by-nature. For the by-function income statement format, value added is equivalent to the sum of EBIT, depreciation, amortisation and impairment losses on fixed assets, personnel expenses, and taxes other than corporate income tax. Value added is useful in understanding the sector and constitutes a measure of the integration of company in the sector. Value added (See Chapter 9 of the Vernimmen) The value added by the company to goods and services purchased from third parties through its activities. On the by-nature income statement format, value added is equivalent to the sum of gross trading profit and profit on raw materials used, less other goods and services purchased from third parties by-nature. For the by-function income statement format, value added is equivalent to the sum of EBIT, depreciation, amortisation and impairment losses on fixed assets, personnel expenses, and taxes other than corporate income tax. Value added is useful in understanding the sector and constitutes a measure of the integration of company in the sector. See all terms in the dictionary of finance To know more about it, look at what we have already written on this subject :

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Definitions of terms begining with the same letter as "Value added" :

VAR VBI VWAP Value Value added Value and financial securities Value at risk Value creation

Value drivers Value of Business in Force Value stock Variable costs Variance Variance Swap Vega Venture capital

Volatility Volatility - bonds Volatility - dividends Volume growth Volume-weighted average price Vulture fund