Question

What is the quation used to deermine revenue when you are given figures for fixed cost, labor cost, and price?

Answer 1

Revenue is what you get paid, so costs don't factor into it.

Answer 2

Profit = Revenue - Costs, but the revenue itself only depends on how much you sell and what the price is per unit of what you're selling.

Answer 3

so it would look like revenue= price x amount?

Answer 4

Pretty much, yeah. If you sell 1,000 items and they cost 10$ each, the your revenue is 10,000$

Answer 5

my problem is: sell your specialty pizzas for $15. The cost for making the pizzas includes a fixed cost of $55 and a labor cost of $4 per pizza.

a. Establish an equation to determine revenue.

Answer 6

so it would be r=15x

Answer 7

Yep, x pizzas at 15$ each is 15x$ in revenue.

Answer 8

ok... thank you very much