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Broadband speed, bandwidth, capacity and contention explaination question

Hi, I hope this is not a silly question but I'd like clarification on the difference between the above.

My understanding is as following:

1. Broadband bandwith is the amount data you can transfer over time. This is like the capacity of the pipe.
2. If i had 4Mbps connection (as shown on my router) but 10 internal staff started to use the connection then in theory the speed for each connection would be a 10th for each person i.e. 400Kbps whilst the bandwidth at the router remains 4Mbps. That is, the pipe remains the same but now its capacity is divided by the number of users.
3 If I have a contention ration of 1:10 on the line and 10 external organisations all log in will the Router still show a 4Mbps connection or will the bandwidth drop to 400Kbps. That is, I now have a smalled pipe?

Can I also check that a speed test checks the bandwidth between the router (external IP) and Internet, not between the PC and Internet which is subject to LAN/PC performance?

Is the above correct?

Thanks
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Kash
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Your link confirms my understanding as question 1, but you haven't completely confirmed my understanding in questions 2 & 3. Having said that your point about doing the speed test at the router is helpful - just not sure how to do that because router only shows bandwidth usage not availability and tx/rx packets.

Thanks.
you can get tx/rx from the network connection details or can use some special software for that purpose.