Question

Over Armour, Inc., sold 5 shirts to its customer for a price of $10 per shirt that cost $6 per shirt. Total Revenues equals ______ and the expense equals _______.

Answer 1

Total revenues from the sale of 5 shirts at $10 each are $50, and the total expense for purchasing the shirts at $6 each is $30.

Step-by-step explanation:

Over Armour, Inc. sold 5 shirts for a price of $10 per shirt and the cost of each shirt was $6. To find the total revenues, we multiply the number of shirts sold by the selling price per shirt. Hence, the total revenues are 5 shirts × $10/shirt = $50. For the expense, which is the cost incurred to produce or purchase the shirts, we multiply the number of shirts by the cost per shirt. Therefore, the expense is 5 shirts × $6/shirt = $30.