Katrina pays $40 for a meal at a fancy restaurant.The ingredients used cost $10.The value added by the restaurant is _____.

A) $30
B) $40
C) $70
D) $40 plus the wages paid to the chef and waiters
E) $40 plus the profit earned by the restaurant owner

Value Added

At each stage of production, the selling price of a product minus the cost of intermediate goods purchased from other firms.

Fancy Restaurant

A high-end dining establishment known for its quality cuisine, superior service, and often, a refined atmosphere.

Ingredients

The components or elements that are combined to create a product, often used in the context of cooking or manufacturing.