Revenue, Cost, and Profit

Which of the following is the best definition of REVENUE?

• The total amount of income a business makes from selling products or services
• The amount of money a business has LEFT over after paying for their costs.
• The total amount of money a business spends.
• The amount of money a business loses every month.

Which of the following is the best definition of PROFIT?

• The total amount of income a business makes from selling products or services
• The amount of money a business has left over after paying for their costs.
• The total amount of money a business spends.

Which of the following is the best definition of COSTS?

• The total amount of income a business makes from selling products or services

• The amount of money a business has left over after paying for materials.

• The total amount of money a business spends to make and sell their products and services

Which of the following is the equation for figuring out PROFIT?

• Profit = Revenue - Cost
• Profit = Cost - Revenue
• Revenue = Profit - Cost
• Costs = Profit - Revenue

Kelly makes and sells quilted blankets out of her home. She charges $50 per blanket. For each blanket she makes, she must spend $1 on thread, $2 in electricity and $12 on cloth. This month she made 15 blankets and sold all 15 of them. What is Kelly's total COST?

• $25

• $225

• $375

• $750

Kelly makes and sells quilted blankets out of her home. She charges $50 per blanket. For each blanket she makes, she must spend $1 on thread, $2 in electricity and $12 on cloth. This month she made 15 blankets and sold all 15 of them. What is Kelly's total REVENUE?

• $550

• $225

• $1000

• $750

Kelly makes and sells quilted blankets out of her home. She charges $50 per blanket. For each blanket she makes, she must spend $1 on thread, $2 in electricity and $12 on cloth. This month she made 15 blankets and sold all 15 of them. What is Kelly's total PROFIT?

• $25

• $225

• $375

• $750

I have to purchase flour and sugar to make cupcakes for my bakery. This is an example of?

• Cost

• Revenue

• Profit

I sell 100 cupcakes for $5 each and make $500. This is an example of?

• Cost

• Revenue

• Profit

I made $500 selling cupcakes this month, but I had to buy flour and sugar for $100 and pay my rent of $250. I had $150 left. This is an example of?

• Cost

• Revenue

• Profit