A certain company sold 800 units of its product for $8 each and 1,000 units of its product for $5 each. If the company's cost of producing each unit of its product was $6, what was the company's profit or loss on the 1,800 units of its product?
(A) $1,600
(B) $600 loss
(C) No profit or loss
(D) $600 profit
(E) $1,600 profit
The OA is the option D.
I am confused. How can I solve this PS question? I would be thankful for your help.
A certain company sold 800 units of its product for
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Hi Vjesus12.
I would solve it as follows:
- The Cost of producing each unit of its product is $6.
- Sold 800 units of its product for $8 each one. Profit per unit = $8-6 = $2.
- Sold 1,000 units of its product for $5 each one. Loss per unit = $6-5 = $1.
Final profit = (Nº units sold price 1)*(profit per unit) - (Nº units sold price 2)*(loss per unit) $$Final\ profit=(Nºunits\ sold\ price\ 1)*(profit\ per\ unit)-(Nºunits\ sold\ price\ 2)*(loss\ per\ unit)$$ $$=\ 800\left(2\right)-1000\left(1\right)\ $$ $$=\ 1600-1000$$ $$=\ 600\ \ .$$ Therefore, the correct answer is the option D.
I hope this explanation may help you.
I would solve it as follows:
- The Cost of producing each unit of its product is $6.
- Sold 800 units of its product for $8 each one. Profit per unit = $8-6 = $2.
- Sold 1,000 units of its product for $5 each one. Loss per unit = $6-5 = $1.
Final profit = (Nº units sold price 1)*(profit per unit) - (Nº units sold price 2)*(loss per unit) $$Final\ profit=(Nºunits\ sold\ price\ 1)*(profit\ per\ unit)-(Nºunits\ sold\ price\ 2)*(loss\ per\ unit)$$ $$=\ 800\left(2\right)-1000\left(1\right)\ $$ $$=\ 1600-1000$$ $$=\ 600\ \ .$$ Therefore, the correct answer is the option D.
I hope this explanation may help you.
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The company made a total revenue of (800 x 8 + 1,000 x 5) = 6,400 + 5,000 = $11,400.VJesus12 wrote:A certain company sold 800 units of its product for $8 each and 1,000 units of its product for $5 each. If the company's cost of producing each unit of its product was $6, what was the company's profit or loss on the 1,800 units of its product?
(A) $1,600
(B) $600 loss
(C) No profit or loss
(D) $600 profit
(E) $1,600 profit
The total cost was 6 x 1,800 = $10,800.
Thus, the profit was 11,400 - 10,800 = $600.
Answer: D
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