Question

The owner of Firewood To Go is considering buying a hydraulic wood splitter which sells for $50,000. He figures it will cost an additional $100 per cord to purchase and split wood with this machine, while he can sell each cord of split wood for $125. How many cords of wood would he have to split with this machine to make a profit of $30,000

Answer 1

Answer:

3,200

Explanation:

Let the cord of woods he would need to split be x

Now, since each cord of wood is to be sold at $125, the amount of money he realizes would be 125 * x = 125x.

Profit = Revenue minus expenses

How revenue is a total of $125x

Now, his expenses = $50,000 + $100x

Now:

$125x - (50,000+100x) = 30,000

125x - 100x = 30,000 + 50,000

25x = 80,000

X = 80,000/25

X = 3200

This means he needs to split 3,200 cords of wood to make a profit of $30,000