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Butoxors [25]
3 years ago
8

A computer manufacturer sells laptops to retail stores for $450 each. If the manufacturer pays $200 for all of the components in

each laptop and $75 in wages to it's workers, the value added to each computer by manufacturing is
Business
2 answers:
Reil [10]3 years ago
5 0

Answer:

$250

Explanation:

Data provided in the question

Selling price of each laptop sells to the retail stores = $450

And, the manufactured paid for all components in each laptop is $200

So by considering the above information, the value added to each computer

= Selling price of each laptop sells to the retail stores - physical inputs cost

= $450 - $200

= $250

The wage to its workers is not a physical input. Hence, ignored it

SCORPION-xisa [38]3 years ago
4 0

Answer:

Value Added =  $ 175

Explanation:

Value of Output is the final 'price x quantity' amount of goods or services produced.

Intermediate Consumption is the value of goods or services used to produce final goods or services

Value Added by Computer Manufacturer = Value of Output [Laptop Price] - Intermediate Consumption [Components cost & labour wages]

= 450 - 275

= $ 175

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