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This classic lemonade stand problem is a great introduction to basic business principles. The key is to distinguish between total revenue, the initial investment, and the actual profit. The three partners invested a total of $10 ($6 + $3 + $1) to get their stand running. Since they brought in $100 in revenue, the first step is to subtract their initial investment to find the profit. This leaves them with $90 of pure profit to divide amongst themselves.
The problem specifies that the partners agreed to share the profits equally, regardless of their initial contributions. With $90 in profit and three partners, each person is entitled to a $30 share ($90 / 3). However, this isn't the final amount they take home. Each partner must also be paid back their original investment.
To find the first kid's total payout, you simply add their original investment to their share of the profit. They put in $6 and earned $30 in profit, so they receive a total of $36. Following the same logic, the second kid receives $33 ($3 + $30) and the third receives $31 ($1 + $30). Adding it all up ($36 + $33 + $31) confirms that the full $100 in revenue is accounted for.
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