for $1.79 per copy, the chicago tribune will deliver the sunday newspaper to your front door. the cost to the tribune for sunday home delivery is approximately $1.13 per newspaper with fixed costs of $1,252,000
determine the profit P of delivering x newspapers.
P = 1.79x - 1.13x - 1252000 = .66x - 1252000
To determine the profit P of delivering x newspapers, we need to subtract the total costs from the total revenue.
First, let's calculate the total revenue:
Revenue per newspaper = $1.79
Total revenue = Revenue per newspaper * Number of newspapers (x)
Total revenue = $1.79 * x
Next, let's calculate the total costs:
Cost per newspaper = $1.13
Fixed costs = $1,252,000
Total costs = (Cost per newspaper * Number of newspapers) + Fixed costs
Total costs = ($1.13 * x) + $1,252,000
Now, we can calculate the profit:
Profit = Total revenue - Total costs
Profit = ($1.79 * x) - (($1.13 * x) + $1,252,000)
Profit = $1.79x - $1.13x - $1,252,000
Therefore, the profit P of delivering x newspapers is given by the equation:
P = $1.79x - $1.13x - $1,252,000