The Total Sales Revenue of a Small Business Is a Direct

question 41

Multiple Choice

The total sales revenue of a small business is a direct reflection of

• A) sales volume and credit terms.
• B) price and credit terms.
• C) price and expenses.
• D) sales volume and price.

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Definitions:

Fixed Asset

Long-term tangible property that a firm owns and uses in its operations to generate income, not expected to be consumed or converted into cash in the short term.

Useful Life

An estimate of the lifespan of an asset during which it is expected to remain productive or useful for the purposes it was acquired.

Residual Value

The estimated value that an asset is expected to have at the end of its useful life, after depreciation has been taken into account.

Net Income

The total profit of a company after all expenses, including taxes and interest, have been deducted from total revenue.