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When a firm's expenses are greater than its sales revenue the firm has a?
Wiki User
∙ 12y ago
When a firm spends more than it gains in revenue it is called a LOSS.
Wiki User
∙ 12y ago
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What happens when actual sales are greater than forecasted sales?
inventory will decline.
Formula for net profit ratio?
Net Profit Margin = Net Profit/ Sales Revenue X 100
How do you calculate business volume?
Sales are the lifeblood of any successful business. An increase in sales, all other things equal, usually translates into higher profitability. Sales volume refers to the number or quantity of products sold and can be expressed in either dollar or percentage terms. You also need to consider the method used to calculate sales volume, whether or not the calculation will be based on revenue or the number of units sold as well as the time period over which you plan on measuring the sales volume
How do you find out the full price of an item?
Ask the sales person!Ask the sales person!Ask the sales person!Ask the sales person!
What is a Sales slip that is marked paid?
a sales silp that is marked paid a sales silp that is marked paid a sales silp that is marked paid
If the firm's sales revenue income exceeds its expenses the firm has earned a profit?
If a firm's sales revenue exceeds its expenses, the firm has earned a profit.
When a firms revenue from sales exceeds its cost of production it will earn?
Profit
Why is sales revenue and profit not the same?
Sales revenue is all the money from your sales. BUT profit is how much money you actually make after considering rent and other expenses. So you should never get carried away by sales revenue because if you sell something worth $900,00 you will think you made $900,00 when you really only make the money after expenses
Is sales return a revenue or expenses?
It's a contrarevenue. It would show up in the revenue section but as a debit as opposed to a credit. A return would decrease your revenues but not increase your expenses.
What is the difference between gross margin and net profit?
Gross Margin = (Gross Profit/Sales)*100 Gross Profit = Revenue - Cost of Sales Net Profit = Revenue - Expenses Or in words, the Gross Margin is an expression of the Gross Profit as a percentage of Sales, where the Gross Profit is Sales minus the Cost of Sales. The Net Profit, on the other hand, is Revenue minus ALL Expenses (including cost of sales).
What remains after all business expenses have been deducted from sales revenue?
Profit Profit
Does contribution margin equal Sales-variable costs?
Contribution margin is computed as sales revenue minus variable expenses
Why are business sales leads important to the infrastructure of marketing firms?
The generation of sales leads is one of the main activities that marketing firms do in order to bring new clients to the company. Successful sales resulting from leads will increase the revenue of a business.
Is sales and marketing the same thing as net sales?
Sales and marketing is the selling and marketing expenses to promote the product while net sales is the sales revenue minus discounts and returns.
How do you calculate net loss?
To calculate net loss, subtract total expenses from total revenue. Net loss occurs when expenses exceed revenue, resulting in a negative value. The formula for net loss is: Net Loss = Total Revenue - Total Expenses.
A company that has a profit can increase its return on investment by?
Increasing sales revenue and operating expenses by the same percentage.
How do you calculate net profit?
You take away the revenue with the total cost of you sales
