micro 2 0.0 / 5 ? Economicsrevenue and profitA2/A-levelAQA Created by: tkaysavCreated on: 06-01-20 22:53 total revenue all the money recieved by a firm from selling its total output - price x quantity 1 of 9 average revenue total revenue / total output 2 of 9 profit is the difference between total sales revenue and cost of production 3 of 9 fixed costs costs that dont change dependent on output 4 of 9 variable costs that change dependent on output 5 of 9 normal profit defined as the minimal level of profit necessary to keep a firm in that line of business - AR = ATC 6 of 9 super normal profit / abnormal profit extra profit above the level of normal profit - AR > ATC 7 of 9 subnormal profit when profit fails to meet the level of normal profit - AR < ATC 8 of 9 profit maximisation when a firms total sales revenue is furthest above its total costs of production 9 of 9
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