Costs & Revenue
Life Skills · Entrepreneurship · conceptual
It costs money to make things (costs/expenses); you earn money by selling them (revenue); if revenue is more than costs, that's profit; if costs are more, that's a loss
What mastery looks like
- Explain what costs, revenue, and profit mean using a simple example
- Calculate profit from a given scenario (e.g. spent £3 on ingredients, sold cakes for £8, profit = £5)
- Explain what happens if costs are higher than revenue (you make a loss)
Check your understanding
If Costs & Revenue spent £4 on supplies for a lemonade stand and earned £10 selling lemonade, could they tell you how much profit they made?
Prerequisites
Required first
Helpful