Calculate total revenue

Question

I need help on this question. Thanks in advance!

my calculation is like this: Percentage difference: 31-27=4

4% = £50,000 100% = £1.25mil

Need to find total revenue: Profit = Revenue - Cost Not too sure about this part.

Answer 1

Given

• (1) $revenue*0.27 = profit$

• (2) $revenue*0.31 = salaries$

• (3) $profit + 50000 = salaries$ (since salaries has higher allocated %)

You can substitute the left side of (3) for $salaries$ in (2), then solve for $profit$:

• $revenue*0.31 = profit + 50000$

• $profit = revenue*0.31 - 50000$

Now, set this and (1) equal to each other and solve for $revenue$

• $revenue*0.31 - 50000 = revenue*0.27$

WolframAlpha says revenue is about 1,250,000

Answer 2

So what was the percentage difference between profit and salaries that year?

Answer 3

Ahh, homework ;)

• Sanity check year 3: 20%+22%+31%+27% = 100%
• Salaries: 31%, Profit: 27%. Salaries - Profit = 4%.
• 4% -> 50k GBP
• Question reformulated: if 4% are 50k GBP, how much are 100%?