ECONOMICS
PRODUCTIVITY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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True
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False
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Either A or B
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None of the above
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Detailed explanation-1: -Option A is correct one. A company’s sales revenue (also referred to as “net sales") is the income that it receives from the sale of goods or services. On the other hand, gross profit is the income that a company makes from its sales after the cost of the goods and operating expenses have been subtracted.
Detailed explanation-2: -Profit is a constraint on the operation of a firm. The value of a firm under constrained optimization is generally below what it would be under unconstrained optimization. The firm, as an organizational structure, exists in order to reduce transactions costs.
Detailed explanation-3: -Profit is the money you have left after paying for business expenses. There are three main types of profit: gross profit, operating and net profit. Gross profit is biggest. It shows what money was left after paying for the goods and services sold.
Detailed explanation-4: -Business profit is equal to total revenue minus The correct answer was: b. explicit costs..