The formula to calculate the Car Wash Profit (P) is:
\[ P = (CW \times CPC) - LM \]
Where:
Car Wash Profit is the total revenue earned by a car wash per day minus the total cost to run the car wash for that day. It accounts for the number of cars washed, the price charged for each wash, and the daily operational costs, including labor and materials. This metric helps car wash owners understand their daily profitability and make informed business decisions.
Let's consider an example:
Using the formula to calculate the Car Wash Profit (P):
\[ P = (100 \times 15) - 800 = 1500 - 800 = 700 \, \text{\$/day} \]
This means the car wash makes a profit of $700 per day.