Day 10

Day 10

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Review

 

What was the name of the man and woman from yesterday?

What country are they from?

Complete this word ( P R _ C I N _ )

Calculate Profit

Remember the lemonade stand example? 

It costs $5.00 to make 5 cups of lemonade.

= $5.00

What if you charge more than $1.00 a cup for lemonade? 

Let’s say you sold the cup for $1.50.

What do you call the extra $0.50 that you make on each cup after you have covered your $1.00 in costs?

The extra money is called PROFIT.

All entrepreneurs strive to make a profit. With the money from profit, entrepreneurs can choose to save it for future business costs and/or keep some of it for themselves.

Response

 

What is profit?

Build Instructions

On the next slide, you will be completing your profit goals. 

For example, Dwight would write down the information below for his profit goals.

Profit:

  • How much profit do you want to make each time you sell your product or service?

$75 (desired profit per product or service)

  • How much profit would you like to make from your business each year?

$75,000 (desired yearly profit)

  • How many products or services do you need to sell each year to make your yearly profit?

(desired yearly profit) / (desired profit per product or service) = 1,000 (# sold per year)

  • How many products or services do you need to sell each month to make your yearly profit?

(# sold per year) / 12 (months in a year) =  83.3 (# sold per month)

  • How many products or services do you need to sell each week to make your yearly profit?

(# sold per year) / 52 (weeks in a year)= 20.75 (# sold per week)

Price: 

  • $200.00 for 2 / 1 hr mentoring sessions a month. 
  • $350.00 for 4 / 1 hr mentoring sessions a month
  • $400.00 for 6 / 1 hr mentoring sessions a month.

Pricing Strategy:

  • Receive $100.00 if you refer a friend and they sign up.

Costs:

  • 13 inch MacBook Pro – $1,299.00
  • iPhone 14 Pro – $999.00 
  • T-Mobile Magenta Plan – $70.00/month
  • Nissan Leaf Lease – $425.00/month
  • Car Insurance – $99.00/month
  • Electric Charging – $40.00/month
  • Office Supplies (ex. notebook) – $15.00/month
  • Business Cards – $9.99
  • Social Media Advertising – $100.00/month

Marketing:

  • Direct messaging and paid advertisements  on social media platforms.
  • Attend Meetup entrepreneurship events and hand out business cards.

Target Market: 

  • Age: Young Adults, Adults
  • Location: Orange County, California
  • Interests: Entrepreneurship; Technology; Innovation; Stock Market
  • Lifestyle: Ambitious individuals who have a busy schedule which revolves around activities/tasks for their business. They take limited vacation time and frequently attend networking events.

Industry: Mentorship

Product / Service: Service

Values: In-Person, Flexibility

Description: My business idea is to provide mentoring to startups.

Please have your child write down all their answers on paper.

The purpose of this builder is to be a guide to their idea.

Business Builder

 

How much profit do you want to make each time you sell?
Example: Your hamburger is priced at $7.00. You want to make $2.00 in profit.

___________________________

How much profit would you like to make each year?
Example: I want to make $1,000 in profit each year.

___________________________

How much do you need to sell each year to make your yearly profit?
{year} ÷ {profit} = ______# of products you need to sell each year

___________________________

How many products do you need to sell each month to make your yearly profit?
{products} / 12 months = ______# of products you need to sell each month

___________________________

How many products do you need to sell each week to make your yearly profit?
{products} / 52 weeks = _____# of products you need to sell each week

___________________________

Pitch Instructions

Present your profit to the class. 

Write down questions to ask your classmates.

Remember to be respectful during each pitch. 

$165.49 – Computer Price

$104.00 – Computer Costs

How much profit will be made?

$61.49

$1,365.49 – Painting Price

$304.00 – Painting Costs

How much profit will be made?

 

$1,061.49

$7,250,000.00 – Home Price

$5,000,000.00 – Home Costs

How much profit will be made?

 

$2,250,000.00

$1,000.00 – Bed Price

$540.00 – Bed Costs

How much profit will be made?

 

$460.00

You don’t want to set your price below your cost per product or service because you will lose money. (True or False)

 

6,000 candles / month

You sell hats at a price of $25.00. 

It costs you $7.50 to make each hat. 

If you want to make $3,000.00 in profit each month, how many hats do you need to sell?

 

400 hats / month

Day 10 Homework 

(Complete your homework assignment on paper)

Calculate the following profit exercises.

Example:

   $19       price
–  $15        cost
$4.00 PROFIT
 x   10    # sold
$40 TOTAL PROFIT
   $21       price
–  $11        cost
PROFIT ?
 x   30    # sold
TOTAL PROFIT ?

 

   $33       price
–  $12        cost
PROFIT ?
 x   90    # sold
TOTAL PROFIT ?

 

   $ 9        price
–  $ 1         cost
PROFIT ?
 x   51    # sold
TOTAL PROFIT ?

 

   $ 22        price
–  $ 11         cost
PROFIT ?
 x   55    # sold
TOTAL PROFIT ?

 

   $ 59        price
–  $ 59         cost
PROFIT ?
 x   99    # sold
TOTAL PROFIT ?

 

   $ 41        price
–  $ 40         cost
PROFIT ?
 x   20    # sold
TOTAL PROFIT ?

 

   $ 84        price
–  $ 77         cost
PROFIT ?
 x   25    # sold
TOTAL PROFIT ?

 

   $ 75        price
–  $ 44         cost
PROFIT ?
 x   67    # sold
TOTAL PROFIT ?

 

   $ 31        price
–  $ 29         cost
PROFIT ?
 x  100     # sold
TOTAL PROFIT ?

 

   $ 99        price
–  $ 80         cost
PROFIT ?
 x  21       # sold
TOTAL PROFIT ?

 

   $ 68        price
–  $ 35         cost
PROFIT ?
 x  31       # sold
TOTAL PROFIT ?
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