Question
Think about an artist who owns her own business. Match each term with the example from her business that best fits that term. Total cost Profit Revenue What the artist receives when a customer buys a painting What the artist pays for supplies and rent on her art studio What the artist keeps after selling a painting and paying her costs
Answer
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Nadia
Professional · Tutor for 6 years
Answer
- **Total Cost**: What the artist pays for supplies and rent on her art studio.- **Revenue**: What the artist receives when a customer buys a painting.- **Profit**: What the artist keeps after selling a painting and paying her costs.
Explanation
In the context of an artist who owns her own business, we can define the terms "Total cost," "Profit," and "Revenue" as follows:1. **Total Cost**: This represents all the expenses incurred by the artist in the process of creating and selling her artwork. This includes costs for supplies, rent for the studio, utilities, and any other expenses related to the business operations.2. **Revenue**: This is the total amount of money the artist receives from selling her paintings. It is the gross income before any costs or expenses are deducted.3. **Profit**: This is the amount of money the artist keeps after subtracting all the costs from the revenue. It represents the net income or earnings from the business.Now, let's match each term with the appropriate example from the artist's business:- **Total Cost**: What the artist pays for supplies and rent on her art studio.- **Revenue**: What the artist receives when a customer buys a painting.- **Profit**: What the artist keeps after selling a painting and paying her costs.