(Base * Height)/2 = Area of triangle (in unit squared) - putting this equation to this we get :
(3.5 * 2.5)/2= square feet
8.75/2 = 4.375 square feet
So the area to make one triangular flag is 4.375 square feet. So the cost to make one flag is:
4.375 * cost per square foot = cost per flag
4.375 * 0.40 = $1.75
The answer is $1.75.
Note: Apologies if I didn't spell square foot or feet right - I am from New Zealand and we work in meters.