Year 10 Business Financial Terminology

NET SALES an enterprise receive in a given financial period.

• turnover

• debt

• asset

• cost

calculated as price X quantity sold

• money

• Sales

• revenue

• credit

money to make or produce any product

• cost

• cost of buying

• cost of sales

• turnover

turnover - cost of sales=

• profit

• gross profit

• turnover

• income

•the profit at business makes on selling its products.

• gross profit

• turnover

• cost

• liabilities

all of the indirect costs of an enterprise

• cost

• expenses

• income

• sale

•Administration

•the salaries of managers

•utility bills

•Advertising

this is an example of ...

• loan

• debt

• sale

• expanses

deducted from gross profit to give net profit

• sale

• income

• expenses

• credit

•the money made from selling a product after all costs have been deducted from gross profit

• net profit

• gross profit

• expenses

• credit

referred to as the ‘bottom line’, because it is the actual profit that can be returned to the owners of the enterprise or reinvested to help the enterprise grow

• gross profit

• net profit

• expenses

• money