Concept explainers
Find the number of plates must be the company sells each month before making a Profit.
Answer to Problem 39PPS
Explanation of Solution
Given:
A company that produces custom bike license plates spends $5525 per month in building overhead plus $2.50 per license plates. The sell price of a plate is $5.99.
Concept Used:
To make a profit the sale price of all plates must be greater than the expense for all the plates.
Calculation:
Expense: The producer spends
Sale price of each plate is
Let the number of plates =
Total Expense of x number of plates =
Total sale price of x number of plates =
To find the number of plates the company must be sale before making profit:
Total sale price = Total expense.
Equation:
Thus,
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