Calculate Profit 4.10b

Front

What is profit?

Back

Profit is the amount of money a business makes after subtracting all costs and expenses from the total revenue.

Front

How do you calculate profit?

Back

Profit = Total Revenue - Total Costs

Front

If Sandra sold corn for $22.35 and her costs were $9.29, what was her profit?

Back

$13.06

Front

What are total costs?

Back

Total costs include all expenses incurred in producing a product, such as materials, labor, and overhead.

Front

If Charles bought a rocking chair for $20 and spent $15.50 on repairs, what were his total costs?

Back

$35.50

Front

What is total revenue?

Back

Total revenue is the total amount of money received from sales before any costs are deducted.

Front

If Claudia sold 10 bracelets for $4 each, what was her total revenue?

Back

$40

Front

What is the formula to find total revenue?

Back

Total Revenue = Selling Price per Item x Number of Items Sold

Front

If Claudia's expenses were $13.65 and her total revenue was $40, what was her profit?

Back

$26.35

Front

What does it mean to break even?

Back

Breaking even means that total revenue equals total costs, resulting in no profit or loss.