2.  Revenue  Sales  Turnover  Profit  Describe what each of the above terms mean

3. 1. Sales or Asset Sale This is probably the most widely understood revenue stream. The customer purchases an asset from a company for an agreed price. Examples include, Amazon selling books, Apple selling phones, and Boeing selling airplanes. 2. Usage Fee Here the customer pays for using a service provided by the company. Effectively the customer is paying on a per-use basis. Examples include, a school sports hall hired out from a local theatre company. 3. Lending/Renting/Leasing Here the customer gains the right to use the company’s product (the asset) or service for a fixed period of time. At the end of the agreed period of time the asset must be returned to the company. Examples include car leasing companies where the customer leases a car for a fixed period (usually three years) and at the end of the period returns the car to the company, and in the UK, Love Film allows users to hire a fixed number of DVD’s during a calendar month. TASK: Draw up a powerpoint which explain each of the above types and think of which types of businesses use each.

4. Calculating Revenue

5.  Sales = £400,000  Costs = £370,000  Profit or Loss?

6.  Costs = £550,000  Sales = £535,000  Profit or Loss?