Answer:
Amount received = $2,210,000
Explanation:
given data
sell = 100 units (x 1000)
capacity = $6 + $4 per automation rating
sell capacity = 35%
to find out
how much they receive when the capacity is sold
solution
we consider here Automation rating is 7.0
we get here first Cost per unit that is here as
Cost per unit = 6 + 4 × 7
Cost per unit = 34
and capacity worth will be here as
capacity worth = Cost per unit × sell units
capacity worth = 34 × 100000
capacity worth = 3,400,000
so that here Amount received will be as
Amount received = capacity worth × ( 1 - sell capacity )
Amount received = 3400000 × ( 1 - 35% )
Amount received = $2,210,000
