Question

look at the equation framework.
blue rectangle = orange rectangle - orange rectangle
which of the following lists the proper placement of terms, from left to right, to complete the equation?

• revenue, profit, opportunity cost
• profit, revenue, production cost
• production cost, profit, revenue
• opportunity cost, revenue, profit

Explanation:

The core formula in business states that profit is calculated by subtracting costs from total revenue. Among the options, only one matches this relationship: profit equals revenue minus production cost.

Answer:

B. profit, revenue, production cost