Respuesta :
Answer:
$9 profit are made per unit sales.
650 unit sales should be made.
Explanation:
STEP1: What will be Hooper's profit in selling one sweatshirt.
Profit = selling price - cost price
Cost price includes all the expenses done.
Profit = $34 - ($8 + $17) = $9
Therefore Hooper will have $9 as profit if one student sales one sweatshirt.
STEP2: The Quantity of sweatshirt that Hooper needs to purchase in order to achieve his profit target.
Since he Target $5,850.
Therefore:
$5,850 ÷ $9 = 650 sweatshirt
Therefore;
If Hooper sales the sweatshirt at $34 per unit, he will achieve $9 as profit. And if he chooses to achieve $5,850 as profit, he has to place a one time order for 650 sweatshirt, that may arrive in batches.
The Shirt Works sells a large variety of tee shirts and sweatshirts by making profit made per unit sale is $9 and 650 unit sales should be made.
What is net operating income?
In business and accounting, net income is defined as the income of an entity that deducts the cost of goods sold, expenses, depreciation and amortization, interest, and taxes for an accounting period.
Computation:
The Hooper's profit on selling one shirt would be determined by applying the formula of profit:
The formula of profit:
[tex]\text{Profit} = \text{Selling Price - Cost Price}[/tex]
Given,
Selling Price = $34,
Cost Price = $25 ($8+$17)
Now, by applying the values in the formula of the profit, we have:
[tex]\text{Profit} = \text{Selling Price - Cost Price}\\\\\text{Profit} =\$34 - (\$8 + \$17)\\\\\text{Profit} = \$9[/tex]
Therefore, Hooper will have $9 as profit on the sale of one shirt.
Then, the Number of sweatshirts that Hooper needs to purchase in order to achieve his profit target would be:
Given Target = $5,850.
Hence,
[tex]=\dfrac{\$5,850}{\$9} = 650\ \text{sweatshirts}[/tex]
Then, he decides to accomplish $5,850 as profit, he has to place a one-time order for 650 sweatshirts, which may arrive in batches.
Therefore, If Hooper sells the sweatshirt at $34 per unit, he will accomplish $9 in profit.
Learn more about the net operating income, refer to:
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