Question

A restaurant offers a new promotion of 20% off the original price of cheese pizzas, which is $12. Before the promotion 250 pizzas were sold each day. After the promotion, the sale of pizza increases an average of 18% more per day.

How much more or less does the restaurant make each day in pizza sales after the promotion?

Answer 1

Answer on Question #59701 – Math – Algebra

Question

A restaurant offers a new promotion of 20% off the original price of cheese pizzas, which is $12. Before the promotion 250 pizzas were sold each day. After the promotion, the sale of pizza increases an average of 18% more per day.

How much more or less does the restaurant make each day in pizza sales after the promotion?

Solution

If in case of new promotion of 20% off the original price of cheese pizzas, which is $12, the sale of pizza increases an average of 18% more per day from 250 pizzas, then the total change in pizza sales (total revenue, TR) per day after the promotion is

Change in TR = P2*Q2 - P1*Q1 = $12*0.8*250*1.18 - $12*250 = -$168.

So, the restaurant makes $168 less each day in pizza sales after the promotion.

Answer: $168 less.

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