Carets normally are used for an exponent so for example
2^3=8
Hope it helps feel free to ask question
Cost of goods = 1,500
Selling expense = 500
Total cost in selling = 1500 + 500 = 2000
Profit = Total Revenue - Total cost in selling = 3000 - 2000 = 1000
Profit = 1000
Hope this explains it.