Definitions Flashcards
1
Q
Revenue
A
The amount of money which a firm receives from selling it’s products can be referred to as TOTAL REVENUE
2
Q
Fixed costs
A
Costs that do not vary with output, no matter how much is made, or how little is sold, they must be paid.
3
Q
Variable costs
A
Vary in direct proportion to output, as output increases variable costs increase, as output falls variable costs fall
4
Q
Total costs
A
Fixed costs and variable costs added together.
