Business objectives Flashcards
1
Q
What are some business objectives?
A
- Profit maximisation
- Revenue maximisation
- Sales maximisation
- Satisficing (earning just enough profits to keep SH happy)
2
Q
How do you calculate profit maximisation?
A
Where MC=MR
3
Q
How do you calculate revenue maximisation?
A
MR = 0
4
Q
How do you calculate sales maximisation?
A
AC = AR
