Initial Budget: $80,000 loan from family $38,250 small business loan from bank A
ID: 3099112 • Letter: I
Question
Initial Budget:$80,000 loan from family
$38,250 small business loan from bank
All loans to be repaid in 10 years
You have recently found a location for your bakery and have begun implementing the first phases of your business plan. Your budget consists of an $80,000 loan from your family and a $38,250 small business loan. These loans must be repaid in full within 10 years.
You will use 25% of your budget to rent business space and pay for utilities.
An investor has increased your budget by $22,250. The investor does not need to be repaid. Rather, he becomes part owner of your business.
This equation illustrates your remaining funds after paying for rent and utilities.
$38,250 + $80,000+ $22,250-0.25($80,000 + $38,250) =
The instruction manual on the industrial oven suggests the oven temperature will increase by 45 degrees Fahrenheit per minute. When the oven is initially turned on, the temperature is 70 degrees Fahrenheit.
In your industrial oven, you bake two baking sheets with 12 scones each, two baking sheets with 20 cookies each, and one baking sheet with 2 scones and 10 cookies.
You have decided to price the scones at $2.28 each and the cookies at $1.19 each. How much total revenue would result from selling all the scones and cookies baked in the oven at one time?
Yesterday your store earned $797.30 just from the sale of cookies.
Your profit P is determined by subtracting the cost C, the amount of money it costs to operate a business, from the revenue R, the amount of money you earn from selling your product. Profit can be represented algebraically by the equations:
Profit = Revenue - Cost
OR
P = R - C
Question
b. Imagine your profit for 1 day is $1,281, and the cost of running the business for the day is $1,463. What is the revenue for that day? Explain your answer.
Explanation / Answer
b. Imagine your profit for 1 day is $1,281, and the cost of running the business for the day is $1,463. What is the revenue for that day? Explain your answer. from the equation above: Profit = Revenue - Cost OR P = R - C profit = 1281 cost = 1463 so plug into the equation 1281 = R - 1463 add 1463 to both sides to get R = 3284 Revenue is $3284