Amount can be used as a synonym for price.
The concept of amount has two main uses. On the one hand, it is the sum or value of a price, a balance, a debt, etc. On the other hand, the term is a conjugation of the verb import (to value, affect, introduce foreign products or habits).
The value , amount or cost of a good, therefore, is established by fixing its amount. If a clothing store offers a pair of pants for 300 pesos , it can be said that said price ( $300 ) is its amount. The person who wants to buy these pants, therefore, will have to pay that sum.
When making a purchase, it is always important to know the amount. That will be the amount of money that must be given to the seller to obtain the good offered. Being aware of the amounts also helps to compare the alternatives offered by different businesses.
The definition of the amount
Nowadays it is increasingly easier to open a small business, even run by a single person, largely thanks to the conveniences that the Internet offers us. Creating a store at home is perfectly possible and does not involve a large investment of money: everything starts with an idea, and then it is necessary to design an attractive portal, include a payment gateway and choose a home delivery service suitable for our needs. However, one of the fundamental points is the determination of the amount of each product, since if this step fails, the profitability of the business is in danger.
An amount that is too high can scare away potential buyers, since there will always be a competitor with better offers; one that is too low may result in greater transaction flow for a time, but a large loss of money in the long term. To choose the appropriate amount, it is necessary to take into account all the costs added to the product, including the following: packaging, store margins, shipping costs, taxes and own profits .
Establishing the appropriate amount of each product is key to the profitability of a company.
Setting the price
In other words, it's not about asking the question "how much could a product like this cost?" but "how much should I order for this product to make a profit ?" Although the list of aspects to calculate the amount may seem overwhelming at first, if we consider them step by step throughout the manufacturing and marketing of the product everything is easier.
First are the materials necessary to manufacture the product. Regardless of the strategy and criteria we use to choose them, we must always leave a record of the expenses incurred at this stage, so that they impact the decision on the amount. The time we invest in its manufacturing or planning should also be a point to take into account.
One of the most common mistakes when determining the amount of a handmade product is overlooking certain apparently secondary expenses, such as the consumption of electric light.
Other uses of the term amount
The idea of amount as a total of money can be used in other contexts. Suppose a company applies for a loan of $100,000 with an interest rate of 5 percent . The amount you will have to repay once the agreed upon period is up will be $105,000 (the original $100,000 plus $5,000 in interest, since $5,000 is 5 percent of $100,000 ).
Amount is also linked to the import action . For example: “I don't think you care, but today I met Luisa and we talked for a long time,” “Due to the devaluation of our currency, every product I import from now on will cost me more.” “There is no "Nothing that matters more to me than the well-being of my children."