Question

A woman with a popcorn stand sells popcorn for $32 per pound. She pays $250 per day to rent space, and it costs her an additional $7 per pound to make the popcorn. What is her profit per pound of popcorn sold?

A) $25
B) $7
C) $32
D) $18

Answer 1

The profit per pound of popcorn sold is calculated by subtracting the cost of production ($7) from the selling price ($32), which equals $25 per pound. Option A) $25 is correct.

Step-by-step explanation:

To calculate the profit per pound of popcorn sold, we need to subtract the cost of making the popcorn from the selling price. The woman sells popcorn for $32 per pound and it costs her $7 per pound to make it. So, we subtract the cost from the selling price: $32 - $7 = $25. The daily rent of $250 does not affect the profit per pound directly, as it is a fixed cost independent of the quantity sold. Therefore, the correct answer is A) $25.