How to Find or Solve Simple Equation for Profit

This is one of the simple was to find profit

Difficulty:

Moderately Challenging

Instructions

Things You'll Need

• calculator and economic problem

1. Profit π = TR-TC
   =(Total Revenue - Total Cost)
   ******do the next step below********

2. = TR-TVC-TFC
   =(Total Revenue-Total Variable Cost -Total Fixed Cost)
   ******do the next step below********

3. =(P x Q) - (AVC x Q) - TFC
   =(Price x Quantity) - (Average Variable Cost x Quantity)- Total Financial Cost

4. To obtain break-even point with this same problem, total revenue is set equal to total cost

   if you need to have the problem worked out look for my article on how to find break-even point