Three college students consider the option of forming a lawn care and landscaping business during their summer vacation. They estimate the following costs:
Insurance $2,600
Equipment Rental Fees $1,000
Fuel and Supplies $4 per lawn
Miscellaneous expenses $2 per lawn
Their projected revenue depends on the number of lawns serviced. The price per job is $40. The going wage for a typical unskilled college student is about $2,000 for the summer months.
Describe an equation for total accounting profit with Q (the number of laws serviced) is a variable?
Describe an equation for total economic profit with Q (the number of laws serviced) is a variable? Hint: There are 3 students involved.