Question

This a Question form me I need help to answer. So Henry and Bryant decided to enter a 1v1 raffle for 165 each for a item. Bryant only had 40 dollars so Henry give Bryant 125 but Bryant need give that money back soon. Bryant won the raffle and planing to sell the item to Henry for 250 but Bryant turned the price to 125 because Bryant owe Henry 125 dollars. So henry sell the item for 300 does henry make profit or not?

Answer 1

The first thing we need to know is that Henry lends Bryant $125.

Since Bryant wins the raffle, he can sell the item at a higher price and decides to sell it for $250.

Henry buys the product for $250, but since Bryant owes him $125, the product costs $125.

`250-125=125`

Now Henry already has his product and now he decides to sell it for $300

We subtract from the total value of the product the value of the purchase of the product

`\begin{gathered} \text{Profit}=300-125 \\ \text{Profit}=175 \end{gathered}`

Now it should be noted that the value of 125 that he lent to Bryant was not returned to him, so it is time to subtract them from the profit as well.

`\begin{gathered} \text{Profit}=175-125 \\ \text{Profit}=50 \end{gathered}`

From the sale of the product he earned $50 but he also bought the raffle ticket for $165 and did not win it so we subtract $165 from the profit

`\begin{gathered} \text{Profit}=50-165 \\ \text{Profit}=-115 \end{gathered}`

We can see that now the profit is negative, that is, Henry does not have any profit, instead he lost $115