Refer to Scenario 9.6 below to answer the question(s) that follow.
SCENARIO 9.6: Celeste borrowed $40,000 from her brother to open a car wash. She pays her brother a 5% yearly return on the money he lent her. Her other yearly fixed costs equal $18,000. Her variable costs equal $40,000. In her first year, Amy sold 40,000 car washes at a price of $2.50 per car wash.
-Refer to Scenario 9.6. Celeste's total revenue is
A) $2,000.
B) $44,000.
C) $60,000.
D) $100,000.

Question

Quizplus · Accepted Answer

Total revenue is calculated by multiplying the number of units sold by the price per unit. Celeste sold 40,000 car washes at $2.50 each, resulting in total revenue of $100,000.