2.2.2 Sales, revenues and costs Flashcards
1
Q
What is sales volume?
A
The quantity of output sold in a particular time period.
2
Q
What is sales volume used for?
A
Used to measure and monitor sales volume levels.
3
Q
What is sales revenue?
A
The value of output sold in a particular time period.
4
Q
What can sales revenue be referred to as?
A
Total revenue
5
Q
What is the formula for sales revenue?
A
SR= Price x quantity of output.
6
Q
What is a fixed cost?
A
A cost that does not change in the short term.
7
Q
What are some examples of fixed cost?
A
Rent
Insurance
Interest on debt
Plant and equipment expenses
Business licenses
Base salaries of salaried (not hourly) workers
