222 sales revenue and costs Flashcards
1
Q
What is sales revenue?
A
money into the business through sales(cash tin).
It can also be known as a turnover. Or sales.
2
Q
What is the calculation of sales revenue?
A
PRICE X QUANTITY
- Quantity is the same as (sales volume).
3
Q
What are variable costs?
A
These are costs that vary(change) with the level of output or sales (stock hold).
3
Q
What are fixed costs?
A
these costs do not change with the level of output or sales. (stall rental).
4
Q
What is the formula for the Calculation of sales volume?
A
sales revenue/price
- This is the number of products sold in a specific period e.g. a year.
