In efforts of improving their orofit margins, a company is considering creating their own manufacturing plant for their product. It had a start-up cost of 25,000 to build the plant. This plant will drop the production cost down to $15 per item. If each item sells for $50, then how many items would it take to get an overall profit of $100,000 for the year?

Answer:

To get an overall profit of $100,000, then 3,571 items is needed to be produced

Step-by-step explanation:

Mathematically;

Profit = Revenue - Production cost

In the question, we are told that the profit we are expecting is $100,000

Let the number of items to be produced for sales be x items

Now let’s look at the production cost ;

The production cost will be number of items for sale * production cost = 15 * x = $15x

Now, we need to add the start-up cost to the production cost to get the total amount spent on production;

Mathematically the total amount would be = $25,000 + $15x

Let’s look at the revenue;

The revenue will be selling price of each item * price of each item;

Mathematically, that would be 50 * x = $50x

So therefore;

50x - (25,000 + 15x) = 100,000

50x -25,000 -15x = 100,000

35x = 100,000 + 25,000

35x = 125,000

x = 125,000/35 = 3571.42 which is approximately 3,571 items

Question 6 of 10
Which statement describes a liquid that has high surface tension?
A. Molecules at the surface are moderately attracted to the
molecules below.
B. Molecules at the surface are strongly attracted to the molecules
below.
C. Molecules at the surface are weakly attracted to the molecules
below.
D. Molecules at the surface have no attraction to the folecules
below.
Folecules
SUBMIT
science

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