Value Addition

Intermediate Goods
Intermediate goods are materials or components that are transformed by production processes into another form, often used to create final goods. For example, steel is an intermediate good that can be transformed into automobiles or ships.
Sweat Equity
Sweat equity refers to the value added to a property by improvements resulting from work performed personally by the owner. It is a non-monetary investment that enhances the worth or appeal of an asset through manual labor and personal effort.

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.