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Billy is selling cupcakes for a bake sale. He spent $40 on materials and sold the cupcakes for $4 each. His profit was $240. If

Billy is selling cupcakes for a bake sale. He spent $40 on materials and sold the cupcakes for $4 each. His profit was $240. If the equation for the scenario is 240=3x- 40 , what does the 40 represent in the scenario?

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