can you please explain this application : using value added to measure the true size of...

can you please explain this application : using value added to measure the true size of walmart? its supposed to be an essay for me so i want to understand it or help me write an outline so i know how to go about answering this question

Expert Solution

The value added concept is a measure which is obtained by the difference of sum of the total value of the firm's sales from the value of goods and services that are purchased from other firms (all values measured in dollars). The value obtained from this is a representation of the sum of the total income of the firm which includes the wages, interest, protits as well as the rent that is generated from the organization.

Walmart's sales were obtained using the value added and the outcomes were thus compared to that of a country's overall GDP which some economists suggest that it is inappropriate to do so.

For instance, in the year 2008, Walmart accounted for nearly $374 billion in sales which roughly accounted for 26% of the total US GDP. Of the total value that Walmart projected as sales, approximately $88 billion came in by the value added. Now this value was used to compare it with the over all GDP of other nations and while doing so, it was obvious that Walmart's sales equalled Belgium's GDP when the overall sales value was considered. On the other hand when the true value of sales was considered, it equalled upto Bulgaria's GDP.

This is thus the concept of adding measure to the true size of walmart.

Rahul Sunny answered 2 years ago

Can you please give an original example of a application integration hierarchy and explain it for...

Can you please give an original example of a application integration hierarchy and explain it for me; you can give one or up to 3 design examples (i.e., data sharing, functionality sharing, or process coordination).

Why is value added an important measure of growth and development?

How does Tesla, Inc. measure the added value to their customers?

Process maps (or flow charts) can only built on the value-added work activities in the process neglecting the non-value added work activities. (TRUE/FALSE)

Process maps (or flow charts) can only built on the value-added work activities in the process neglecting the non-value added work activities. (TRUE/FALSE) Suppose that the results for an exam are normally distributed with a mean of 87 and a standard deviation of 17. Approximately 76% percentages of examinees pass the exam by the grade of 75. (TRUE/FALSE) Scatter plot represents a point plotted on a two-dimensional coordinate system. (TRUE/FALSE) Process capability ratio indicates whether or not the chance...

Explain the difference between a value-added activity and a non-value added activity.

1a) Explain the concept of market value added, economic value added and future growth value b)...

1a) Explain the concept of market value added, economic value added and future growth value b) A project has a net present value of zero, what return is earned on this project when the discounting rate of 15%?.Explain your answer c) Demonstrate how supply and demand equations can be derived using the concept of elasticity. d) in oligopoly, game theory can be used to explain the behaviour if firms . explain how firms can end up in a suboptimal equilibrium...

Please Complete this C Code using the gcc compiler. Please include comments to explain each added...

Please Complete this C Code using the gcc compiler. Please include comments to explain each added line. /*This program computes the Intersection over Union of two rectangles as a percent: IoU = [Area(Intersection of R1 and R2) * 100 ] / [Area(R1) + Area(R2) - Area(Intersection of R1 and R2)] The answer will be specified as a percent: a number between 0 and 100. For example, if the rectangles do not overlap, IoU = 0%. If they are at the...

Can you figure out of the value at risk is a measure that attempts to capture...

Can you figure out of the value at risk is a measure that attempts to capture the risk within a firm or investment portfolios. And the way of calculating value at risk assumes that daily returns are distributed according to a normal distribution and with high confidence of 95 percent, we can then calculate the value at risk as 1.65 standard deviations below the mean. That approach has been criticized following the financial crisis of 2008. Do you know the...

Can you please explain how s could e true or false? It is okay to violate...

Can you please explain how s could e true or false? It is okay to violate the assumption of independent errors as long as the data are normally distributed. Thank you! ?

1) The big problem with using prices as a ruler to measure the size of our...

1) The big problem with using prices as a ruler to measure the size of our economy and how fast it grows is: A. Monopolies can distort prices. B. Prices include sales taxes. C. There are no prices to measure government output. D. Prices cannot estimate the true value of goods and services. E. Prices change from year to year. 2) A French couple purchases gasoline: A. An intermediary good. B. An export.. C. A financial transaction. D. Investment spending....

Question