The price of a mango is $2 and a farmer sells 2,000 mangos. However, the costs to the farmer are $400 for labor, $1,600 for rent, and $2,000 for advertising. Based on the above information, the farmer: Group of answer choices makes $2,000 in total revenue. makes $4,000 in total revenue. makes $2,000 in profit. loses $2,000 in profit.

Question

Business

Kyler Harris

11 May, 10:57

The price of a mango is $2 and a farmer sells 2,000 mangos. However, the costs to the farmer are $400 for labor, $1,600 for rent, and $2,000 for advertising. Based on the above information, the farmer: Group of answer choices makes $2,000 in total revenue. makes $4,000 in total revenue. makes $2,000 in profit. loses $2,000 in profit.

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Answers (1)

Know the Answer?

Yandel Ballard · Answer 1

makes $4,000 in total revenue

Explanation:

Total revenue = price * quantity sold

= $2 * 2000 = $4,000

The farmer makes $4,000 in total revenue

Total cost = $1600 + $400 + $2000 = $4,000

Profit / loss = Total revenue - Total Cost

= $4000 - $4000 = $0