Monthly archive - February 2016

OF LEMONS AND LEMON SLICES

Posted on Feb 29, 2016 in Articles by 1 Comment

 

In a far, far away land, there’s a town called Lemon Tree…

In Lemon Tree, you open a stall selling lemons.

Your cost of each lemon is $1. If you sell a whole lemon for $1.50, your gross revenue is $1.50 and gross profit is $0.50 per lemon. Nothing to boast about.

You wisely decide there’ll be better profits selling by the slice than a whole lemon. Therefore, you slice the lemons into 6 slices and sell each slice for $0.50 each.