Answer:
The market trader should sell each of the remaining 20 packs of muffins for £1.30 to meet his target.
Explanation:
To find out how much the market trader needs to sell the remaining 20 packs of muffins, we first need to calculate his total cost and his target revenue.
The cost of the loaves of bread is:
100 loaves x 84p/loaf = £84
The cost of the packs of muffins is:
60 packs x £1.10/pack = £66
Therefore, the total cost for the trader is:
£84 + £66 = £150
To make a 40% profit, the trader needs to make £150 x 40/100 = £60 in profit.
His target revenue is, therefore:
£150 + £60 = £210
The revenue from the loaves of bread is:
100 loaves x £1.20/loaf = £120
The revenue from the 40 packs of muffins sold at £1.60 per pack is:
40 packs x £1.60/pack = £64
So the total revenue from the loaves of bread and the 40 packs of muffins is:
£120 + £64 = £184
This means that the trader needs to make:
£210 - £184 = £26
from the sale of the remaining 20 packs of muffins.
To sell 20 packs of muffins to make £26, he needs to sell each pack for:
£26/20 = £1.30 per pack
Therefore, the market trader should sell each of the remaining 20 packs of muffins for £1.30 to meet his target.