Final answer:
The advantages of a value-added statement include tracking value addition, transparency to shareholders, and benchmarking.
Step-by-step explanation:
One advantage of a value-added statement is that it helps businesses track the amount of value they add to a product during the manufacturing process.
This allows them to identify areas where they can increase efficiency and reduce costs, ultimately leading to higher profits.
Another advantage is that a value-added statement provides transparency to shareholders and investors by showing how the company is generating its profits. This can help build trust and confidence in the business.
Additionally, a value-added statement can be used as a benchmarking tool to compare the performance of different businesses in the same industry. This can help identify best practices and areas for improvement.