What is profit and why do businesses seek it?
Lemonade Math
What is profit and why do businesses seek it?
Let's say you open a lemonade stand. You squeeze lemons, add sugar, fill cups with ice. You sell each cup for a dollar. At the end of the day, you count your money — but wait. Did you actually keep all those dollars?
Not quite. You had to buy lemons. You bought sugar and cups. Maybe you paid your friend to help squeeze. All those dollars you spent? That's called your cost. The money left over after you pay your costs — that's profit.
