Net value added = Operating income + Personnel costs + Rent + Taxes and public imposts + Royalties
Gross value added = Net value added + Depreciation costs
[Source: “Handbook on Management Indices of Major Industries”, by Capital Investment Research
Institute, JDB]
Conversion value = Production value – (Direct material costs + Cost of parts purchased + Payments to subcontractors + Indirect material costs)
[Source: “Small Business Management Indices,” by SMEA]