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How much are they losing if they make 41 calls

To calculate how much the lawn service company is losing after 41 calls, let's break it down.

From the image:
- **Price per lawn maintenance call (Revenue per call)**: $51
- **Fixed costs (per month)**: $689
- **Variable costs per lawn (per call)**: $37

### Step 1: Calculate the total revenue from 41 calls:
\[
\text{Total Revenue} = 51 \times 41 = 2091
\]

### Step 2: Calculate the total variable cost from 41 calls:
\[
\text{Total Variable Cost} = 37 \times 41 = 1517
\]

### Step 3: Calculate total costs (fixed + variable):
\[
\text{Total Costs} = 689 + 1517 = 2206
\]

### Step 4: Calculate the net profit/loss:
\[
\text{Net Loss} = \text{Total Revenue} - \text{Total Costs} = 2091 - 2206 = -115
\]

The company loses **$115** if they make 41 calls.

Would you like further details on any part of this? Here are some additional questions you might find interesting:

1. What is the break-even point for the company in terms of number of calls?
2. How much should they charge per call to avoid a loss?
3. How would a change in variable costs affect profitability?
4. If the fixed costs increase, how many more calls would be needed to break even?
5. What happens if they reduce their fixed costs by 10%?

**Tip**: Always calculate both fixed and variable costs to understand the total cost structure before setting a price.

How much are they losing if they make 41 calls?

Learn how to calculate the net loss for a lawn service company making 41 maintenance calls, charging $51 per call, with fixed monthly costs of $689 and variable costs of $37 per call. Includes detailed steps and formulas for total revenue, total costs, and net loss.

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