COSTS AND REVENUE

What is the formula for total costs?

• (Price – Average Variable Cost) x Output level

• (Price – Average Variable Cost) x 100

• Total Fixed Costs + Total Variable Costs

What is the formula for determining the Total Cost?

• TFC + (AVC × Q) or TFC + TVC

• P x Q

• TR - TC

What is the formula for calculating profit?

• Fixed assets –  Current assets

• Total revenue – Total costs

• Current assets + Fixed assets

What is the formula for determining break-even?

• (Price – Average Variable Cost) x Total output

• Total revenue – Total costs

• Total fixed costs ÷ (Price – Average Variable Cost)

What is the formula for calculating Average Fixed Cost?

• Total costs ÷ Output level

• Total Fixed Costs ÷ Output level

• Average cost x Output level

Which of the following can be used to calculate profit?

• Total revenue – Cost of goods sold

• Total revenue – Expenses

• (P – AVC) x Output level

What is the formula for calculating sales revenue?

• Cash inflows – Cash outflows

• Total revenue – Total costs

• Unit price × Quantity sold

Which of the following can be used to calculate profit?

• Fixed assets –  Current assets

• Total revenue – Total costs

• Current assets + Fixed assets