Explain Why Communication Is Important to Managers and Organizations

question 73

Essay

Explain why communication is important to managers and organizations. What four functions does it serve?

---

Definitions:

Average Revenue

The amount of revenue a company receives per unit of output sold, calculated by dividing total revenue by the quantity of goods or services sold.

Marginal Revenue

Additional income received from selling one more unit of a product or service.

Total Revenue

The total amount of money a firm receives from its sales of goods or services, calculated by multiplying the price per unit by the number of units sold.

Average Revenue

The amount of money a company makes for each unit of product sold, which is found by dividing the overall revenue by the number of units sold.