Worksheets1.3- Revenue, costs and profit
Total questions: 12
Worksheet time: 32mins
What is Revenue
Income from selling products or services
The money being paid out for bills
The money kept by an entrepreneur after costs are paid
The selling price of each of the items
What is a fixed cost
Costs that changes with output
Costs that remains the same regardless of output
Costs that change every 6 months
Costs that an entrepreneur fixes in for 12 months
Which two of the following are fixed costs
Rent
Raw materials
Electricity
Water
Advertising
A variable cost changes with output (the more you make the more it costs)
True
False
Which two of the following are variable costs
Raw materials
Rent
Insurance
Water
Advertising
Calculate the revenue if a business sells 20,000 units at £2 each
£4000
£40,000
$40,000
£400,000
Calculate the revenue if a business sells 80,000 units at $2.50 each
$200,000
£200,000
£20,000
$20,000
Business A has £5000 fixed costs per month. The variable costs per item they make and sell is £3. What is the businesses total costs if they make and sell 10,000 units.
£5003
£30,000
£35,000
£25,000
Business B has £1000 fixed costs per month. The variable costs per item they make and sell is £0.50. What is the businesses total costs if they make and sell 6000 units.
£4000
£3000
£1000.50
£2000
Which formula calculates profit.
Revenue - fixed costs = profit
Revenue - variable costs = profit
Revenue - total costs = profit
Revenue - profit = variable costs
Calculate profit from the following figures
Revenue: £40,000
Total cost: £6500
£33,500
£46,500
£30,500
£33,000
Calculate profit from the following figures
Revenue: £100,000
Fixed cost: £10,000
variable cost: £20,000
Total cost: £30,000
£130,000
£40,000
£80,000
£70,000
