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You own a shoe store. The direct materials and labor used to make a pair of shoes cost you $30 dollars. You also incur a cost of $10 to advertise the shoes. You then sell that pair of shoes for $70. What is your operating profit from selling this pair of shoes

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danishmujtabaqureshi

Answer: The operating profit is $30 per pair of shoes

Explanation:

Operating profit is the profit before interest and taxes.

In this question, Sales = $70, Cost = $30, Advertising = $10

therefore, the operating profit = 70 - 30 - 10 = $30

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