Question

A restaurant spend the following to prepare jollof each day

rice - 300

tomatoes - 50

Oil - 100

fish - 1000

chicken - 1000

gas - 200

electricity - 200

transportation - 30

monthly rent - 360

monthly water bill - 120

i) calculate the direct cost of production for five days.

ii) calculate the profit made by the restaurant on daily basis if the profit margin is 15%

please kindly help me as fast as possible please

Answer 1

i) calculate the direct cost of production for five days.

Direct cost	Amount
rice	300
tomatoes	50
Oil	100
fish	1000
chicken	1000
gas	200
Total	2650
Direct cost of production for five days = 2650 X 5
= 13250

ii) calculate the profit made by the restaurant on daily basis if the profit margin is 15%

Cost	Amount
rice	300
tomatoes	50
Oil	100
fish	1000
chicken	1000
gas	200
electricity	200
transportation	30
rent	360
water	120
Total Cost	3360
Profit margin is 15%
Profit = Total Cost X 15%
= 3360 X 15%
= 504