Financial Literacy

Profit is the amount of money earned after subtracting all costs from the total revenue. For example, if you sell a toy for $20 and it cost you $15 to buy, your profit is $5.

To calculate profit, subtract the total costs from the selling price. Profit = Selling Price - Total Costs.

A fixed expense is a cost that does not change from month to month, such as rent or a car payment.

A variable expense is a cost that can change each month, such as groceries or entertainment.

The selling price is the amount of money a seller asks for a product or service.

COGS is the total cost of producing or purchasing the goods that a company sells during a specific period.

A budget is a plan that outlines expected income and expenses over a certain period.

Tracking expenses helps you understand where your money goes and can help you save for future goals.

A thrift store is a retail store that sells second-hand goods, often at lower prices.

Selling something for a profit means selling it for more than what you paid for it, after accounting for any additional costs.