Question

Which of the following lists the proper placement of terms, from left to right, to complete the equation?

revenue, profit, opportunity cost
profit, revenue, production cost
production cost, profit, revenue
opportunity cost, revenue, profit

Answer 1

Answer:

The correct answer would be option C, Production Cost, Profits, Revenue.

Explanation:

Production cost, Profits and Revenues are the terms used in the businesses. If we are to arrange it in order of happenings, then option C would be the appropriate choice. This is because a company incur costs in the production of its products, so the Production costs come at the first place. Then the company sells the products and generates profits on it. Then all expenses are deducted from the profits and all costs are cut. So the end result would be the Revenues. Revenues would be the last one to remain with the company.

Answer 2

The proper way to place the terms from left to right in order to complete the profit equation is b. profit, revenue, production cost.

What is the profit equation?

The profit equation is represented by the financial model, Total Revenue - Total Expenses = Profit. In order words, profit equals revenue minus production cost. The equation is not complete with revenue, profit, opportunity cost. The equation is not complete with production cost, profit, revenue or opportunity cost, revenue, profit.

Thus, the proper placement of terms to complete the profit equation is Option B.

Learn more about the profit equation at https://brainly.com/question/7890147