Question

A company that sells cds spends 250$ dollars per week leading office space. The cds cost $3.75 each to produce and are sold for $17.75 each. How may cds must the company produce and sell each momth to make a profit of at least $806 each month?

Answer 1

Answer:

129 cds.

Step-by-step explanation:

Given:

A company that sells cds spends 250$ dollars per week leading office space.

The cds cost $3.75 each to produce and are sold for $17.75 each.

Question asked:

How may cds must the company produce and sell each month to make a profit of at least $806 each month?

Solution:

As given:

Cost price of each cds = $3.75

Selling price of each cds = $17.75

Profit of each cds = 17.75 - 3.75 = $14

A company spends per week leading office space = $250

As we know: 1 month = 4 week

A company will spend each month leading office space = $4\times250=\ 1000$

A company make a profit each month of at least = $806

Therefore, he must earn by selling the cds each month = 1000+806=$1806

Now, to find the number of cds, the company must produce, we will divide the total earning each month by each cds profit:-

$\frac{1806}{14} =129\ pieces \ of \ cds$

Therefore, 129 cds must be produced and sold each month by the company.