Question

The table shows the annual profits (in thousands of dollars) of a county fair from 2008 to 2012. What must the 2012 profit be (in hundreds of dollars) to break even over the five-year period?

Answer 1

In the year 2008 and 2009, the company had profit 2.5 thousand dollars and 1.75 thousand dollars consecutively

In the year 2010 and 2011, the company experienced a loss of 3.3 thousand dollars and 1.4 thousand dollars.

Total profit is 2.5 + 1.75 = 4.55 thousand dollars
Total loss = 3.3 + 1.4 = 4.7 thousand dollars

Total loss is bigger than the total profit so the company needs to make profit in 2012 to break even = 4.7 - 4.55 = 0.37 thousand dollars (this is the least profit the company needs to make)

Answer 2

Answer:

In year 2012, 0.45 thousands dollars will bring the break even for the company.

Step-by-step explanation:

The table shows the annual profits of a county fair from 2008 to 2012.

We have to calculate the profit in 2012 to get the break even over the five year period.

Total profit in four years = profit in year (2008 + 2009) = 2.5 + 1.75 = 4.25 thousand dollars

Total loss in four years = loss in year (2010 + 2011) = 3.3 + 1.4 = 4.7 thousand dollars

Net profit or loss = Net profit - net loss = 4.25 - 4.7 = -0.45

There is a net loss of 0.45 thousand dollars.

If we get a profit of 0.45 thousand dollars in year 2012, we will be in the situation of no profit and no loss (break even).

Therefore, profit of 0.45 thousands of dollars is the answer.