1.3.2 Revenues, costs & profits Flashcards
1
Q
Revenue
A
The income from sales; price x quantity sold
2
Q
Variable costs
A
Business costs that change with output, such as raw materials
3
Q
Total costs
A
All the costs of a business; calculated as:
total costs = fixed costs + variable costs
4
Q
Profit
A
The difference between costs and revenue
5
Q
Cash-flow
A
The money that flows into and out of a business
6
Q
Growth
A
A business objective of increasing the amount or value of sales
