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Paco buys and sells antique furniture at a cost-to-revenue ratio of 5:9. Paco sells a piece for $207. What is his profit on the sale?

a) $36
b) $54
c) $63
d) $90

User Shaul Dar
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1 Answer

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Final answer:

Paco's profit from selling an antique piece of furniture, given a cost-to-revenue ratio of 5:9 and a selling price of $207, is calculated to be $59.20.

Step-by-step explanation:

The question asks us to calculate Paco's profit from selling an antique piece of furniture given a cost-to-revenue ratio of 5:9. To find the profit, we need to first determine the cost and the revenue. If Paco sells a piece for $207 and the ratio of cost to revenue is 5:9, we can set up a proportion where 5 units of cost plus 9 units of revenue equals $207. From here, we find that one 'unit' equals $207 divided by the total ratio units (5+9), which is 14. Thus, each unit is worth $14.80.



Once we know the cost per unit, we multiply it by 5 to find the cost, and by 9 to find the revenue. Therefore, the cost is 5 units x $14.80/unit = $74. The revenue is 9 units x $14.80/unit = $133.20. The profit is calculated by subtracting the cost from the revenue, which gives us $133.20 - $74 = $59.20.

User Btrballin
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