Question

A car dealership spends $700,000 on cars to stock their lot. After a day of sales, they earn a total revenue of $1,500,000. What is the car dealership's profit? g

Answer 1

Answer:

$800,000

Explanation:

The computation of the car dealership profit is shown below:

Car dealership profit is

= Total revenue earned - total cost spent

where,

Total revenue earned is $1,500,000

And, the total cost spent is $700,000

So, the  car dealership profit is

= $1,500,000 - $700,000

= $800,000

We simply deduct the total cost spent from the total revenue earned so that we get to know  car dealership profit