Definitions [4]
Define business.
Business refers to an economic activity that basically involves trading of goods and services on a regular basis. The sole motive with which a business is conducted is profit.
-
Prof. Haney: “Business activities are all those human activities that are directed towards the production and processing of wealth.”
-
Prof. Pride, Hughes, and Kapoor - “The organized efforts of individuals to produce and sell for a profit the goods and services that satisfy society’s needs.”
Define Micro industry.
The enterprises with a capital investment not exceeding 25 lakhs.
The wide network of trade, transport, banking, insurance, warehousing, and advertising enables the smooth exchange of goods and services.
Formulae [1]
Every business operates with the aim of earning a profit, which is the excess of revenue over costs.
- Profit = Revenue - Total cost
