Answer to Question #181312 in Economics of Enterprise for Prachi

Question

Jame detail confectionery items newspaper magazines and secret and he is milk bad thing is business is not living 3 thought of selling out fires and role as well to test his idea he decides to make a total of rule and price per day to finance this idea is allocated to fix per day cost of Dollar 19 to 12 for both role and files is cost of Dollar 2.30 and is per cost of Dollar 2.50 to produce they will sell at dollar 4.70 parole and Dollar 5.20 per pie so does James make a profit or loss when 50rolls and 50pies are produced and sold one particular day??

Answer 1

If 50 rolls and 50 pies are produced and sold one particular day, then the total profit is:

TP = (4.7×50 + 5.2×50) - (19 + 2.3×50 + 12 + 2.5×50) = 224.

So, James makes a profit of $224.