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Bismuth83
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You have the option to order wallboard from either of two suppliers wi 28 Nov 2024, 15:33
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Shipping from Supplier A: $125 Shipping from Supplier B: $725
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25% (medium)

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81% (02:24) correct 19% (02:24) wrong based on 217 sessions

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You have the option to order wallboard from either of two suppliers with the same basic price per four-by-eight-foot sheet of wallboard. Supplier A is located in state and must apply the 6% state sales tax to your order. Supplier B ships from out of state, where no sales tax applies to orders for construction materials. Because of the distance, Supplier B charges more for shipping than Supplier A charges. If an order totaling $10,000 before tax and shipping costs results in the same charge from either supplier, find each supplier’s shipping cost for such an order.
Shipping from Supplier A Shipping from Supplier B
$85
$125
$325
$450
$600
$725
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Shipping from Supplier A: $125 Shipping from Supplier B: $725
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Bismuth83
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You have the option to order wallboard from either of two suppliers wi 29 Nov 2024, 11:00
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1. Let's create a general formula for the total cost: Total Cost = Order Cost \(*\) (1 + State Sales Tax(%)) + Shipping Cost.

2. Now we can use it for both suppliers.

- Supplier A: Total Cost = 10000 \(*\) 1.06 + Shipping Cost(A)
- Supplier B: Total Cost = 10000 \(*\) 1 + Shipping Cost(B)

3. Lastly, it is known that the Total Cost is the same. So: 10000 \(*\) 1.06 + Shipping Cost(A) = 10000 \(*\) 1 + Shipping Cost(B) \(\rightarrow\) Shipping Cost(B) - Shipping Cost (A) = 600.

4. The only options that have a difference of 600 are $725 and $125.

5. Our answer will be: Shipping from Supplier A - $125 and Shipping from Supplier B - $725.
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