Question

Question 3

Mr Dladla wants to open a training company, he will be training Learnerships and
ABET. He plans to operate at South Gate Mall with the total Market share of 4500
customers per month. He knows that he can only expect 50% of the market share for
the year.
His selling price will be R500 and the cost of running his course in R300. His training
company opens 20 days per month.
(10)
3.1 Calculate his gross profit per day and thereafter

Answer 1

To calculate Mr. Dladla's gross profit per day, we first need to calculate his total revenue and total cost per month:

Total revenue per month = Selling price x Expected market share per month

Total revenue per month = R500 x (50% of 4500 customers) = R112,500

Total cost per month = Cost per course x Number of courses per month

Total cost per month = R300 x 20 days = R6,000

Gross profit per month = Total revenue per month - Total cost per month

Gross profit per month = R112,500 - R6,000 = R106,500

To calculate his gross profit per day, we can divide the gross profit per month by the number of days the training company opens per month:

Gross profit per day = Gross profit per month / Number of days per month

Gross profit per day = R106,500 / 20 days = R5,325 per day

Therefore, Mr. Dladla's gross profit per day is R5,325.

Explanation: