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GCSE Business · key term
The quantity of goods or services a business produces in a given period.
Used by AQA and OCR
Paper 2
The number of goods or services a business produces in a given period.
Revise: Financial Terms and Break-even AnalysisOutput is the quantity produced during a particular period. Fixed costs do not change as output changes over the period and range being considered. A bakery normally pays the same rent whether it produces very few cakes or many cakes.
Paper 1, Paper 2
Revise: Organic GrowthOutput is the quantity of goods or services produced in a given period. A manufacturer can increase output by investing in machinery or technology that allows it to produce more. A service business can employ more staff: additional hairdressers, for example, allow a salon to provide more appointments.
The quantity of goods or services produced over a period of time.
The quantity of goods or services a business produces over a particular period.
Read the axis scales carefully. Break-even output and margin of safety are measured in units of output, whereas revenue, costs and profit are measured in money.
When reading profit or loss, compare revenue and total costs at the same output level.
Explain the chain of effects: for example, extra machinery increases output, allowing the business to meet more customer orders and increase sales.
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