In order to determine whether or not Sure Care will make a profit by accepting the bid, yearly costs and revenues need to be calculated. With a given monthly cost of about thirty six thousand dollars, Sure Care's yearly cost for providing health care is the monthly cost times twelve months, giving us a value of four hindered thirty two thousand dollars. To find annual income, we need to multiply the individual monthly bid of two hundred dollars by three hundred families for twelve months. The manufacturing firm's annual bid for health care amounts about to seven hundred twenty thousand dollars. Net income can be solved by subtracting costs from revenue, which results in an annual gross profit of two hundred eighty eight thousand dollars. Alternatively, you could have started by first calculating Sure Care's monthly gross profit and then multiplied it by twelve months.