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Capital and organisation

The revenue e...

Question

The revenue earned by production activity after deducting cost of production is

A

Cost of production

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B

Profit

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C

Capital

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D

Wealth

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Solution

The correct option is B
Profit

Profit

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Q. Mega Ltd. was manufacturing water-heaters. In the first year of its operations, the revenue earned by the company was just sufficient to meet its costs. To increase the revenue, the company analysed the reasons of less revenue. After analysis, the company decided
(i)To reduce the labour cost by shifting the manufacturing unit to a backward area where labour was available at a very low rate.
(ii)To start manufacturing solar water-heaters and reduce the production of electric water-heaters slowly.
This will not only help in converting the risk, but also help in meeting other objectives too.

In 2000, if CAD/CAM forms 70% of the revenue from other product groups, what percentage of the total revenue is earned from CAD/CAM in 2000?

Q. Under perfect competition, at the shut down point, revenue earned by the firm covers which cost?

Q. The total cost

C_{(x)}

and the total revenue

R_{(x)}

associated with production and sale of

x

units of an item are given by

C (x) = 0.1 x^{2} + 30 x + 1000

R (x) = 0.2 x^{2} + 36 x - 100

. Find the marginal cost and the marginal revenue when

x = 20

Which brand earned the maximum revenue after tax?

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