SOLUTION: Business and finance. The revenue for a sandwich shop is directly proportional to its advertising budget. When the owner spent $2000 a month on advertising, the revenue was $120,

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Question 52408: Business and finance. The revenue for a sandwich shop is directly proportional
to its advertising budget. When the owner spent $2000 a month on advertising, the
revenue was $120,000. If the revenue is now $180,000, how much is the owner
spending on advertising?
Answer by ChillyWiz(11) About Me  (Show Source):
You can put this solution on YOUR website!
Directly Proportional means that
WHEN revenue for sandwich shop rises,advertising buget ALSO rises
Let S = sandwich shop revenue
Let B = advertising budget
Relationship of S and B are directly proportional.. think %28x%2Fy%29=k
so %28B%2FS%29=k, where k is a constant number that NEVER changes
For the first time, $2,000 on advertising budget nets us $120,000
%282000%2F120000%29=k -> k=%281%2F6%29
Then if the revenue is now $180,000
Solving for B gives us B=S%2Ak -> B=180000%2A%281%2F6%29
B=3000