Let’s say you want to open a shoe store that will specialize in high-end shoes. But before you do, you want to determine how many pairs of shoes you have to sell in the first year to break even (have no profit or loss). You also want to know what your profit will be in year two. You have been busy estimating some revenues and costs. Here is what you have so far:

-If you end up selling 12,000 pairs of shoes the first year,how much profit will you make?
A)approximately $240,000
B)zero
C)approximately $840,000
D)approximately $1,920,000

Question

Let’s say you want to open a shoe store that will specialize in high-end shoes. But before you do, you want to determine how many pairs of shoes you have to sell in the first year to break even (have no profit or loss) . You also want to know what your profit will be in year two. You have been busy estimating some revenues and costs. Here is what you have so far:

-If you end up selling 12,000 pairs of shoes the first year,how much profit will you make?

-If you end up selling 12,000 pairs of shoes the first year,how much profit will you make?
A)approximately $240,000 
B)zero 
C)approximately $840,000 
D)approximately $1,920,000

Quizplus · Accepted Answer

The correct answer is A because the profit is calculated by multiplying the number of pairs of shoes sold by the profit per pair. In this case, the profit per pair is $20, so the total profit is 12,000 * $20 = $240,000.

Let’s Say You Want to Open a Shoe Store That