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Answer :
a) The expenses are $237.99, the income is $380, and the profit is $142.01
b) P = $10*s - ($4.50*m + $12.99)
How to find the income and the expenses?
We define the income (or revenue) as what you win for selling the items, while the expenses are the costs you have to produce and sell the items.
- Here we know that each flag is sold for $10.
- We also know that each flag costs $4.50 to make, and it is a fixed cost of $12.99 to make the flags.
a) If you make 50 flags, then the total expenses are:
E = 50*$4.50 + $12.99 = $237.99
And if you sell 38 of these flags, the income is:
I = 38*$10 = $380
Finally, the profit is the difference between the income and the expenses, so we get:
P = I - E = $380 - $237.99 = $142.01
b) So, let's define two variables:
s = number of flags that you sell.
m = number of flags that you make.
Then the income is:
I = $10*s
the expenses are:
E = $4.50*m + $12.99
Then the expression for the profit can be written as:
P = $10*s - ($4.50*m + $12.99)
If you want to learn more about profit:
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