Excerpt from ‘Danny Dollar, Millionaire Extraordinaire’

Editor’s note: Below is an excerpt from the children’s book, “Danny Dollar, Millionaire Extraordinaire, The Lemonade Escapade,” written by Ty Allan Jackson and reprinted with permission via Newspaper in Education. To catch up on the story, read the previous excerpt in the e-paper edition of Friday, June 5.

Chapter 8

Lemon-paid “Wow, so far we’ve gone through five containers of lemonade and we have one more left,” exclaimed Noogie.

“This has to be the most money I’ve ever made in one day. Benji, what’s the total amount we’ve made so far?” asked Danny.

“We’ve sold 327 cups of lemonade at one dollar apiece. That’s $327. Can you believe we made $327 in one day!? That is a big payday,” said Benjamin excitedly.

“This is awesome guys. We made a net profit* of $246,” said Danny.

“What do you mean by net profit?” Noogie asked as he scratched his head.

“Have you ever heard the saying, ‘It takes money to make money’?”

“Yeah, I’ve heard that before, never figured out what it meant though,” said Noogie.

“It’s true; I had to spend my own money to set up this lemonade stand. I had to buy the containers to put the lemonade in, the cups, the ice, the little umbrellas and the ingredients to make the lemonade. All those things are called expenses. Expenses are what it costs to create and run a business. Once your business makes money, like the $327 we made today, you subtract your expenses. I spent $81 of my own money, remember that?” Noogie and Benjamin both nodded their heads.

“Subtract that from the total we made and it gives us a net profit of $246.”

“Oh, I get it!” said Benjamin.