Backstreet Books,an eclectic bookstore on a large college campus generated total revenues of $15 million while incurring expenses of $12 million.During the year Backstreet Books earned a profit of $3 million.
The profit a firm earns is found by subtracting total costs from total revenue.

Question

Quizplus · Accepted Answer

This statement is true. The profit a firm earns is indeed found by subtracting total costs from total revenue. In this case, Backstreet Books generated $15 million in total revenue and incurred $12 million in expenses, resulting in a profit of $3 million.

Backstreet Books,an Eclectic Bookstore on a Large College Campus Generated