3.2 Finance Terms and Simple Calculations Flashcards
1
Q
What is the formula for Revenue?
A
Revenue = Selling Price x Sales Volume (number sold)
2
Q
What is a fixed cost?
A
Costs that don’t vary with the level of output
3
Q
What is a Variable Cost?
A
Costs that will vary with the level of output
4
Q
Give the formula for profit
A
Profit (loss) = Revenue - Costs
5
Q
What is a Start-up cost?
A
One off costs paid when launching a business
6
Q
What is a Running cost?
A
Costs a business pays regularly
7
Q
Give 3 other word for Revenue
A
Income
Sales
Turnover
