MGAC03H3 Lecture Notes - Lecture 1: Lemonade Stand, Lemonade, Net Profit
16 Dec 2015
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Document Summary
Sally decides to run a lemonade stand during the summer. She purchases a large bowl to mix the lemonade and a pitcher in which to serve lemonade. Sally"s mother kindly donates the use of her refrigerator to cool the lemonade. Sally operates, she purchases 200 lemons for a total expenditure of . She purchases 4 bags of sugar for the lemonade at a cost of for each bag. She uses her mother"s juicer to squeeze the lemons. Her father loans and asks for interest at 4% per annum, although she repays that loan and the interest on it after 3 months. Her mother asks for to cover the cost of water and electricity. She sells each glass of lemonade in june for sh. 20 per glass. July is warmer, and she sells each glass in july for sh. 50. August is also hot, but many people are on vacation so she sells the lemonade for sh. 30 for each glass.
