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Company C produces toy trucks at a cost of $5.00 each for the first 10

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Company C produces toy trucks at a cost of $5.00 each for the first 10  [#permalink]

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New post 27 May 2016, 04:13
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Company C produces toy trucks at a cost of $5.00 each for the first 100 trucks and $3.50 for each additional truck. If 500 toy trucks were produced by Company C and sold for $10.00 each, what was Company C’s gross profit?

(A) $2,250
(B) $2,500
(C) $3,100
(D) $3,250
(E) $3,500
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Re: Company C produces toy trucks at a cost of $5.00 each for the first 10  [#permalink]

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New post 27 May 2016, 04:59
Cost of 500 trucks: (100 * 5 ) + (400 * 3.5) = 500 + 1400 = $ 1900

Revenue : 500 * 10 = $5000

Profit: 5000 - 1900 = $ 3100

Option C is correct
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Re: Company C produces toy trucks at a cost of $5.00 each for the first 10  [#permalink]

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New post 12 Apr 2017, 21:57
nalinnair wrote:
Company C produces toy trucks at a cost of $5.00 each for the first 100 trucks and $3.50 for each additional truck. If 500 toy trucks were produced by Company C and sold for $10.00 each, what was Company C’s gross profit?

(A) $2,250
(B) $2,500
(C) $3,100
(D) $3,250
(E) $3,500


Cost for each of the first 100 trucks: 5
Cost for each of the 400 trucks = 3.5
Total Trucks produced = 500
Selling price of each truck = 10

Profit = Revenue - Total Cost

\(Total\quad Cost\quad =\quad 100\ast 5+400\ast 3.5\\ Total\quad Cost\quad =\quad 100\left( 5+4\ast 3.5 \right) \\ Total\quad Cost\quad =\quad 100\left( 19 \right) \\ Total\quad Cost\quad =\quad 1900\)

\(Revenue\quad =\quad 500\ast 10\quad =\quad 5000\)

\(Total\quad Gross\quad Profit\quad =\quad Revenue-Total\quad Cost\\ Total\quad Gross\quad Profit\quad =\quad 5000\quad -\quad 1900\quad =\quad 3100\)
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Re: Company C produces toy trucks at a cost of $5.00 each for the first 10  [#permalink]

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New post 06 Sep 2018, 09:01
total cost=100*5 + 400*3.5 = 500+1400=1900
Revenue= 500*10 = 5000
so
profit= 5000-1900 = 3100

Answer C
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Re: Company C produces toy trucks at a cost of $5.00 each for the first 10 &nbs [#permalink] 06 Sep 2018, 09:01
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Company C produces toy trucks at a cost of $5.00 each for the first 10

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