Lynh manages a small company with 12 employees. he offers profit sharing where 5% of profits at end of year is distributed evenly to the employees. each employee earned $2,300 in profit sharing in 2013. what was the total profit?

We need to find the total profit of Lynh Mangoes. It is given that the 5 % of profit to be distributed equally between 12 employees.

Profit received by each employee = $ 2,300

Total profit received by 12 employees = $ 2,300 × Profit received by each employee

Total profit received by 12 employees = $ 27,600

It is given that 5 % to be distributed.

Thus, 5 % of total profit = $ 27,600

Total profit = $ 27,600 ÷ 5 %

Total profit = $ 552,000

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