Suppose carl's candies sells 100 boxes of candy for $5 each. the total fixed cost of the 100 boxes is 100 and the average variable cost of the 100 boxes is 1.50 per box

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Answer:

$ 250

Step-by-step explanation:

given,

number of boxes = 100 boxes

cost of candy = $ 5 each

Total fixed cost of the 100 boxes = $ 100

variable cost of 100 boxes = $ 1.5 per box

total profit of Carl's = ?

Variable cost of 100 boxes = 100 x $ 1.5

                                            = $ 150

fixed cost = $ 100

Total cost = fixed cost + variable cost

                = $ 100 + $ 150 = $ 250

Selling price = $ 5 x 100

                     = $ 500

total profit of Carl's  = Selling price - Cost price

                                 = $ 500 - $ 250

                                 = $ 250

total profit of Carl's is equal to $ 250.

The total profit of Carl after selling 100 boxes is $250 and this can be determined by finding the selling price and cost price of the 100 boxes.

Given :

  • Carl's candies sell 100 boxes of candy for $5 each.
  • The total fixed cost of the 100 boxes is 100.
  • The average variable cost of the 100 boxes is 1.50 per box.

The following calculation can be used to determine the total profit of Carl's:

First, find the variable cost of 100 boxes.

[tex]\rm Variable \; Cost = 100\times 1.5[/tex]

Variable Cost = $150

Given that the fixed cost of the 100 boxes is $100.

Now, find the total cost of the 100 boxes.

Total Cost = Fixed Cost + Variable Cost

                 = 100 + 150

                 = $250

The selling price of 100 boxes is given by:

Selling Price = [tex]5\times 100[/tex]

                     = $500

Now, the total profit of Carl is given by:

Total Profit = Selling Price - Cost Price

                  = 500 - 250

                  = $250

So, the total profit of Carl after selling 100 boxes is $250.

For more information, refer to the link given below:

https://brainly.com/question/15699405