Question: John sublets his apartment to 3 people who each pay $400 per month. He rents the apartment for $900 a month. How much profit does he make in a year? Think carefully first, then make a decision:
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He gets 3 * $400 = $1200 per month. So he gets 1200 * 12 = $14,400 per year. So he pays 12 * 900 = $10800 a year. That means his profit is 14400 - 10800 = $3600 per year. So the answer is 3600.
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