Types of Proft 3.0 / 5 based on 1 rating ? EconomicsThe company, revenue and costsA2/A-levelOCR Created by: TessAniCreated on: 18-01-13 15:22 What is profit? What is left when all expenses have been deducted from the firm's income or total revenue - the difference between revenue and costs 1 of 5 Normal Profit The level of profit that keeps a firm in a particular activity 2 of 5 Supernormal profit Profit that is more than normal profit 3 of 5 Features of markets with supernormal profits Monopolistic ones in the short term, monopolies in the long term; likely to attract new firms to the industry - must be able to show this on a diagram 4 of 5 What does the level of profit depend on? The firms objectives; the market structure - i.e. level of competition; economic 'climate' 5 of 5
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