Question

The profit in a business in one year was $35,000. What must be the profit the second year in order that the average for the two years may be $37,500?

Answer 1

Average of the 2 years is (year1+year2)/2

year1=35000
year2=?average=37500

so

(year1+year2)/2=37500
(35000+?)/2=37500
times 2 both sides
35000+?=75000
minus 35000 both sides
?=40000


the profit in 2nd year must be $40,000