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23 September, 20:02

A stadium brings in $16.25 million per year. it pays football-related expenses of $13.5 million and stadium expenses of $2.7 million per year. whatis the stadium's current profit margin

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  1. 23 September, 23:09
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    We have that

    Profit margin is calculated by finding the net profit as a percentage of the revenue

    Profit margin = [Net profit / Revenue]

    Net profit = [Revenue-Cost]

    we know that

    Revenue = $16.25 million

    Cost = $13.5 million + $2.7 million

    Net profit = [16.25 million - (13.5 million + 2.7 million) ]

    Net profit = $0.05 million

    Profit margin = 0.05 / 16.25

    Profit margin = 0.003077 or 0.3077%
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