While value is based on cost from t

While value is based on cost from the point of view of the company account-ant, the concept of value may have different interpretations outside the company. In section 2.4.3, we stated that value from the end-customer’s point of view is the perceived benefit gained from a product/service compared with the cost of purchase. From the shareholder’s point of view, value is determined by the best alternative use of a given investment. In other words, value is greatest where the return on investment is highest.