List and Define Two Types of Capital Income

question 30

Essay

List and define two types of capital income.

---

Definitions:

Sales

The total amount of revenue generated from goods or services sold by a company.

Costs of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including materials, labor, and manufacturing overhead.

Inventory

A company's full collection of materials and goods, kept for the goal of being sold or used in production.

Accounts Receivable

Money owed to a company by its customers for goods or services that have been delivered or used but not yet paid for, represented as an asset on the company's balance sheet.