In general, living conditions have greatly improved during this time due mostly to technological advances that allow products to be produced for less money. A great amount of poor nations still exist, however. <span />
The correct answer is A) Revenue is the total amount producers receive after selling a good. Profit is the total amount producers earn after subtracting the production costs.
Let's suppose you sell sportsbooks. When you sell one book, you charge $20. That is the revenue or total amount after selling the book. At the end of the day, you sell five books and receive $100. That is the revenue of the day. But that money is not all for you. You need to page fixed cost, wages, taxes. So a profit is what you keep after subtracting costs and taxes. For instance, of the $20 per book, 15 dollars go to all of the mentioned concepts and you keep $5. That is your profit.
So yes, the difference between profit and revenue is the following: Revenue is the total amount producers receive after selling a good. Profit is the total amount producers earn after subtracting the production costs.
