GRE Exam Numerical Ability Profit and Loss

To produce a particular radio model, it costs a manufacturer $30 per radio, and it is assumed that if 500 radios are produced, all of them will be sold. What must be the selling price per radio to ensure that the profit (revenue from the sales minus the total production cost) on the 500 radios is greater than $8,200

Read Solution (Total 1)

c.p of 500 radios = 30*500 = 15000
now, s.p - c.p > 8200.
=> s.p - 15000 > 8200
=> s.p > 23200
thus, s.p of 500 radios > 23200
so, s.p of 1 radio > 23200/500
=46.40
thus the selling price per radio must be greater than $46.40.(ans)
9 years agoHelpfull: Yes(5) No(0)

GRE Other Question

At a fruit stand, apples can be purchased for $0.15 each and pears for $0.20 each. At these rates, a bag of apples and pears was purchased for $3.80. If the bag contained 21 pieces of fruit, how many of the pieces were pears If $10,000 is invested at a simple annual interest rate of 6 percent, what is the value of the investment after half a year