Total revenue is the
A) price at which a product is sold multiplied by the cost of producing the product.
B) price at which a product is sold multiplied by the number of units of the product that is sold.
C) price at which a product is sold multiplied by the number of units of the product that is produced.
D) average price of a product divided by the number of units of the product that is sold.
E) none of these.

Question

Quizplus · Accepted Answer

Total revenue is calculated by multiplying the price at which a product is sold by the number of units of the product that is sold, making option B the correct choice. Option A is incorrect because it includes the cost of producing the product, not the price at which it is sold. Option C is incorrect because it includes the number of units produced, not the number of units sold. Option D uses the wrong calculation method by dividing the average price by the number of units sold. Option E is incorrect because none of the given choices apply.

Total Revenue Is the