Question

Write a system of equations to describe the situation below, solve using substitution, and fill in the blanks. Craig's Bakery recently spent a total of $311 on new equipment, and their average hourly operating costs are $9. Their average hourly receipts are $10. The bakery will soon make back the amount it invested in equipment. How many hours will that take? What would the total expenses and receipts both equal?

Answer 1

a. 311 hours

b. i. $3,100 in receipts

ii. $2,799 in expenses.

Explanation:

a. The company is making $10 per hour and spending $9 an hour. Their profit is therefore:

= 10 - 9

= $1 per hour

Since they spent $311 on the new equipment, the amount of time it would take for them to make this back is:

= 311 / 1

= 311 hours

b. In 311 hours, the total receipts would be:

= 311 * 10

= $3,110

The expenses would be:

= 311 * 9

= $2,799