Question

A stadium has two sponsorship deals. Deal A has revenue of $100,000 and expenses of $10,000. Deal B has revenue of $50,000 and expenses of $20,000. What is the stadium's average profit as a percentage of revenue?

Answer 1

Revenues:
Deal A = $100,000
Deal B = $50,000
Total = $150,000

Expenses:
Deal A = $10,000
Deal B = $20,000
Total = $30,000

Profit = Revenues - Expenses = 150,000-30,000 = $120,000

Percentage of profits to revenues = 120,000/150,000 *100 = 80%