Problema Solution

acme costume company makes and sells authentic bat costumes, the only one used by bats, for $19.99 each. it cost $3.50 in material and $6.25in labor to make each costume. the fixed cost of acme inc. are $25,000 per month. how many costume must acme inc. make and sell per month to make a profit of at least 6,000 per month?

Answer provided by our tutors

let 'n' represent the number of costumes sold


total costs:

(3.50 + 6.25)n + 25000


total revenue:

19.99n


profit:

total-revenue - total-costs

19.99n - ((3.5+6.25)n + 25000)


we want to solve for 'n' when profit is 6000

6000 = 19.99n - ((3.5+6.25)n + 25000)

solving for 'n' we have n=3027.343


3,028 costumes must be made and sold per month to make a profit of at least $6,000 per month