Asked by
Verified
The difference between total revenue and total cost is:
A) economic profit or loss.
B) nominal revenue.
C) average revenue.
D) marginal revenue.
Total Revenue
The total amount of money received by a firm from selling its goods or services.
Total Cost
The complete amount of money required for the production of a given level of output, including both fixed and variable costs.
Economic Profit
The difference between total revenue and total costs, including both explicit and implicit costs, representing the profits that exceed normal expected profits.
- Elucidate the association between total revenue, total cost, and profitability.
Verified Answer
Learning Objectives
- Elucidate the association between total revenue, total cost, and profitability.
Related questions
Total Revenue Is a Firm's ...
(Figure: a Perfectly Competitive Firm in the Short Run)Use Figure ...
(Figure: Total Cost for Tomato Producers)Use Figure: Total Cost for ...
(Figure: Revenues,Costs,and Profits for Tomato Producers)Use Figure: Revenues,Costs,and Profits for ...
(Figure: Cost Curves for Corn Producers)Use Figure: Cost Curves for ...