Question: You own a restaurant and just negotiated a decrease in the cost of steaks by 25 cents a steak. You normally sell 300,000 steak dinners

You own a restaurant and just negotiated a decrease in the cost of steaks by 25 cents a steak. You normally sell 300,000 steak dinners a year. Your business pays an average of 30 percent in income taxes. 



What is the annual benefit of this increased efficiency?

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