The point at which a business's total sales equal its total expenses, the business has not yet made a profit but has not incurred any losses.

A one-time purchase a business makes (e g., land, building, equipment)

A pricing method in which the business adds a predetermined markup to the total cost of making the product

Cost savings created by increased levels of production

Business costs that are not affected by changes in sales volume; also known as fixed expenses

Operating costs that do not increase or decrease with changes in production; also known as fixed costs

A company's revenue after subtracting the costs of the products it has sold

Expenses that are fixed until the company reaches a certain level of production, then become variable, also called semi-variable costs or semi-fixed costs

The ongoing, day-to-day expenses of running a business that are not directly related to production

A pricing method in which the business determines how much customers will pay for a product, then adjusts costs accordingly

The difference between the total cost of a product and its selling price

An amount a salesperson earns per sale, either a percentage or a flat rate

Expenses that are fixed until the company reaches a certain level of production, then become variable, also called mixed costs or semi-variable costs

Expenses that are fixed until the company reaches a certain level of production, then become variable, also called mixed costs or semi-fixed costs

The sum of the overhead and direct costs required to make a product

Business costs that change according to changes in sales volume; also known as variable expenses

Operating costs that fluctuate with changes in production; also known as variable costs

Help

Options

focusNode

Didn't know it?
click below

Knew it?
click below

Don't Know

Remaining cards (0)

Know

retry

shuffle

restart

0:00

Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.

Normal Size Small Size show me how

Overhead/ operating

objective 4.04

Term	Definition
Break- Even point	The point at which a business's total sales equal its total expenses, the business has not yet made a profit but has not incurred any losses.
Capital Expenditure	A one-time purchase a business makes (e g., land, building, equipment)
Cost-based pricing	A pricing method in which the business adds a predetermined markup to the total cost of making the product
Depreciation	Loss of value
Economies of scale	Cost savings created by increased levels of production
Fixed costs	Business costs that are not affected by changes in sales volume; also known as fixed expenses
Fixed Expenses	Operating costs that do not increase or decrease with changes in production; also known as fixed costs
Gross profit	A company's revenue after subtracting the costs of the products it has sold
Mixed costs	Expenses that are fixed until the company reaches a certain level of production, then become variable, also called semi-variable costs or semi-fixed costs
Operating costs	The ongoing, day-to-day expenses of running a business that are not directly related to production
Price- based pricing	A pricing method in which the business determines how much customers will pay for a product, then adjusts costs accordingly
Price markup	The difference between the total cost of a product and its selling price
Sales commission	An amount a salesperson earns per sale, either a percentage or a flat rate
Semi-fixed costs	Expenses that are fixed until the company reaches a certain level of production, then become variable, also called mixed costs or semi-variable costs
Semi-Variable costs	Expenses that are fixed until the company reaches a certain level of production, then become variable, also called mixed costs or semi-fixed costs
Total cost	The sum of the overhead and direct costs required to make a product
Variable costs	Business costs that change according to changes in sales volume; also known as variable expenses
Variable Expenses	Operating costs that fluctuate with changes in production; also known as variable costs

Created by: angelic.g778

"Know" box contains:
Time elapsed:
Retries: