3.3.1-3.3.4 revenues, costs and profits Flashcards
(7 cards)
1
Q
total revenue def
A
total value of all sales a firm incurs
2
Q
total revenue calculation (TR)
A
selling price (P) x quantity sold (Q)
3
Q
average revenue def
A
the overall revenue per unit
4
Q
average revenue (AR) calculation
A
total revenue (TQ) / quantity (Q)
5
Q
marginal revenue definition
A
is the extra revenue received from the sales of an additional unit of output
6
Q
marginal revenue calculation (MR)
A
delta in (TR) total revenue/ delta in (Q) quantity
7
Q
observation at perfect competition
A
