The formula Total revenue - Total cost,or [(Unit price * Quantity sold)- (Fixed cost + Variable cost)],represents
A) the value equation.
B) the sales ratio.
C) average revenue.
D) the break-even point.
E) the profit equation.

Question

Quizplus · Accepted Answer

The formula Total revenue - Total cost, or [(Unit price x Quantity sold)- (Fixed cost + Variable cost)], represents the profit equation. It is used to calculate the profit or loss a company earns from selling a product or providing a service.

The Formula Total Revenue - Total Cost,or [(Unit Price