What is meant by the term Cost of Sales?

• All of the money that is coming into a business
• The cost of producing a product or a service
• The amount of money a business has left over once all costs have been taken out
• The selling price of a product

Expenditure is defined as;

• Only the money that is spent on buying new stock
• All of the money that goes out of a business
• Only the money spent on start up costs
• All of the money that comes into a business

Which formula would calculate sales revenue?

• Selling Price + Number of Items Sold
• Selling Price x Variable Costs
• Selling Price x Number of Items Sold
• Selling Price x Cost of Sales

A business has made a net profit if;

• All Costs are greater than Revenue
• Revenue is greater than All Costs
• Revenue is greater than Cost of Sales
• Cost of Sales is greater than Revenue

Which profit is the largest one that a business will make?

• Net Profit
• Gross Profit
• Full Profit
• Formula Profit

Overheads are defined as;

• The start up costs of a business
• The everyday running costs of a business
• The variable costs of a business
• The fixed costs of a business

What is missing from this formula to calculate gross profit?

Revenue (minus) _____

• Expenditure
• Cost of sales
• Cashflow
• Income

Select the number which shows the revenue line

• 1
• 2
• 3
• 4

Select the number which shows the variable costs line.

• 1
• 2
• 3
• 4

The point where revenue and costs are equal is known as?

• Profit
• Break Even
• Loss
• Cashflow