Answered

Find the best solutions to your questions at Westonci.ca, the premier Q&A platform with a community of knowledgeable experts. Experience the convenience of getting accurate answers to your questions from a dedicated community of professionals. Experience the convenience of finding accurate answers to your questions from knowledgeable experts on our platform.

Bobby decides to sell lemonade on a hot summer day. If Bobby sells 20 glasses of lemonade for $2.00 per cup, and his average total cost is $1.70, what are Bobby's economic profits for the day?

Sagot :

menscerto
2.00 - 1.7 = .30 30 cents profit per cup
.30 x 20 = 6.00 $6 profit for day

Bobby's economic profit  for the day is $6.

Bobby's economic profit is total revenue less total cost.

Economic profit = total revenue - total cost

Total revenue = price x  glasses of lemonade sold

20 x $2 = $40

Total cost = average total cost x glasses of lemonade sold

$1.70 x 20 = $34

Economic profit = $40 - $34 = $6.

A similar question was answered here: https://brainly.com/question/14918805?referrer=searchResults

We appreciate your time. Please come back anytime for the latest information and answers to your questions. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. We're glad you chose Westonci.ca. Revisit us for updated answers from our knowledgeable team.