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emmasim [6.3K]
2 years ago
8

To calculate profit, producers subtract their tolal production cost from their

Advanced Placement (AP)
1 answer:
Andrei [34K]2 years ago
4 0

Answer:

To calculate profit, producers subtract total costs from total income.

Explanation:

This is a basic premise of cost theory. Total revenue is obtained by multiplying the price by the quantity sold. The total cost is the multiplication of the cost of each unit by the quantity.

Profit is the decrease in revenue by cost.

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