A simple business question about profit

[mightymouse]

To make this as simple as possible: you are in business to sell a widget. You have searched the world over and found that the best price--your cost--on a widget is $1.00 (one dollar). Again, for simplicity's sake, there are no other costs associated with the selling of this widget--no rent, labor, utilities, postage, shipping, or whatever--just the cost of the widget ($1.00), which you now have in stock and are ready to sell.

And, again for simplicity's sake, after selling this one widget, you will close up shop, count your money, calculate your profit, and pay your widget supplier what he is due ($1.00). For illustrative purposes, your one customer--who will buy the one widget you have for sale--will pay you in quarters.

To make 50% profit, what then is your selling price for this widget?

 

[xseler]

$2


(By the way, my Dad calls this "making 3%"......just my Dad!)

 

[druryj]

Pics of widget would help.

 

[xseler]

Pics of widget would help.

The posting of photos of the ever elusive widget requires the purchase of Federal Tax Stamps......

 

[ignerntbend]

Hear weight, watt? You don't have any money in the widget. Any money you collect above $i.oo is prophet if you want to put it that way. If a trane leaves okc going fifty miles an hour how long does it take to dig half a whole?

 

[kirk1978]

Ill take 2!!!

 

[doctorjj]

Are you asking percent profit or profit margin? Totally different things.

 

[mightymouse]

Are you asking percent profit or profit margin? Totally different things.

Profit margin.

 

[mightymouse]

Hear weight, watt? You don't have any money in the widget. Any money you collect above $i.oo is prophet if you want to put it that way. If a trane leaves okc going fifty miles an hour how long does it take to dig half a whole?

No money in the widget, but a bill from the widget supplier is on your desk. $1.00 is what you owe him.

 

[SPDguns]

I'll take the widget, please lock the thread. Do you take bitcoin?