Finance

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What does 'total cost' mean?
The total expenses of a firm.
1 of 10
What does the amount of revenue a business earns each month depend on?
Both selling price and quantity sold.
2 of 10
What is revenue sometimes called?
Turnover.
3 of 10
An increase in output does not mean an increase in:
Overheads.
4 of 10
A firm sells 10 units at £5 each. Its total costs are £30. How much profit is made?
A £20 profit is made.
5 of 10
How do you calculate profit?
Subtracting total costs from total revenue.
6 of 10
How do you calculate total revenue?
Quantity sold x Average price.
7 of 10
When is a business making loss?
When revenues are less than costs.
8 of 10
When is a business making a profit?
When revenues are higher than costs.
9 of 10
If a company reduces a product's price, what does this mean for their revenue?
There could be an increase or decrease in revenue.
10 of 10

Other cards in this set

Card 2

Front

What does the amount of revenue a business earns each month depend on?

Back

Both selling price and quantity sold.

Card 3

Front

What is revenue sometimes called?

Back

Preview of the front of card 3

Card 4

Front

An increase in output does not mean an increase in:

Back

Preview of the front of card 4

Card 5

Front

A firm sells 10 units at £5 each. Its total costs are £30. How much profit is made?

Back

Preview of the front of card 5
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