Marah is deciding whether or not to open a lemonade stand. She expects to sell 20 cups of lemonade for $1 per cup. She already made a sign that cost her $10 and will have $15 worth of additional costs for cups and lemonade mix if she decides to open the stand. a. If Marah decides to open the lemonade stand, how much profit will she earn? $ −5 b. Based on this information, Marah should open the lemonade stand. c. The $10 spent on the sign represents a sunk cost.

Explanation:

given data:

lemonade to be sold = 20cups at $20.

cost of sign post = $10.

cost of cup and lemonade mix = $15.

A. Marah profit from the venture would be

=  Sales made – Total cost

= $20 – $25

= –$5.

B. Based on the information above Marah should forget about Opening the lemonade stand as she would be running at a loss of $5.

C. The $10 spent on the sign is a sunk cost because it cannot he recovered after it has been spent.

step 1: create a plan

step 2: inventory facility equipment/assets

step 3: create preventive maintenance procedures

step 4: create preventive maintenance schedules

step 5: train your maintenanceteam

step 6: analyze – adjust - improve

or

step 1 – pm procedure design: doing the effective things

step 2 – pm procedure scheduling: efficient use of people and resources

step 3 – pm lubrication engineering

step 4 – pm training: back on the chain gang

step 5 – pm program management plan

step 6 – communicate, communicate, communicate

income statement is prepared in order to show the profits and loss of a business. in order to prepare the income statement she should collect all the income and expenses of the product with the cost of production.