Kathy runs her own computer education business. She needs $4000 a year to pay the leases on the computers she uses. She estimates she will have 400 pupils for the next year. Each pupil pays $200 for the education. However, it costs Kathy $20 to $30 per pupil in supplies and overhead. a. What are Kathy's yearly revenues? b. What are Kathy's average total costs? What is the range of Kathy's costs? c. Does Kathy make a profit? What is the range of Kathy's profit?

Q&A Education