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Law on Value Added

In: Accountancy and Social Responsibility

Author

Listed:
  • Živko Bergant

    (College for Accountancy and Finance)

Abstract

The value-added law is revealed and formulated. It has its own creative and distributive dimensions that work regardless of the socio-economic system or human history and in all types of organizations. In opposite, the inequality is devastating and the entropy of the system increases. Value-added law requires the distribution of value added between all stakeholders that bear risk according to their work contribution. Important economic and social aspects of the value-added law are shown. The distribution of the value added to the stakeholders is discussed and detailed value-added structure is presented. New categories, basic labor costs and surplus value added are defined and proposed to make the procedure of the distribution of the value added easier and comprehensive. A special emphasis is given to the retained surplus value added.

Suggested Citation

  • Živko Bergant, 2021. "Law on Value Added," Palgrave Studies in Impact Finance, in: Accountancy and Social Responsibility, chapter 0, pages 63-80, Palgrave Macmillan.
    • Handle: RePEc:pal:psifcp:978-3-030-77928-3_5
    DOI: 10.1007/978-3-030-77928-3_5
    as

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