Question

Christine has a home-based business making and selling scented soaps. She intially spent $97 to purchase soap-making equipment, and the materials for each kilogram of soap cost $18. Christine sells the soap for $19 per kilogram. Eventually, she will sell enough soap to cover the cost of the equipment. How much soap will that be? What will be Christine's total sales and costs be?

Answer 1

To cover the cost of the equipment, Christine will need to sell approximately 5.39 kilograms of soap. Her total sales will be $102.41 and her total costs will be $189.02.

Step-by-step explanation:

To determine how much soap Christine will need to sell to cover the cost of equipment, we need to find the number of kilograms of soap that equals the initial cost of the equipment.

The formula to calculate this is:

Number of kilograms of soap = Initial cost of equipment / Cost of materials per kilogram

Number of kilograms of soap = $97 / $18

= 5.39 kilograms.

Therefore, Christine will need to sell approximately 5.39 kilograms of soap to cover the cost of the equipment.

To calculate Christine's total sales, we need to multiply the selling price per kilogram by the number of kilograms sold:

Total sales = Selling price per kilogram * Number of kilograms sold

Total sales = $19 * 5.39

= $102.41.

Christine's total costs can be calculated by adding the initial cost of equipment to the cost of materials:

Total costs = Initial cost of equipment + (Cost of materials per kilogram * Number of kilograms sold)

Total costs = $97 + ($18 * 5.39)

= $189.02.

Therefore, Christine's total sales will be $102.41 and her total costs will be $189.02.