332,005 views
26 votes
26 votes
Lebo buys blank writable CDs in bulk. He repackages them and sells them

Individually. He pays R40,00 cash (including VAT) for 50 CDs. He receives a 5%
discount. For how much must he sell each CD to make a 40% profit?
5. Musa buys a new radio for R125,00 excluding VAT. He pays cash and gets a 5
cash discount. How much will he pay in total including VATS
15%100 x 5,00​

User Ben Sagmoe
by
2.8k points

2 Answers

15 votes
15 votes

Final answer:

To make a 40% profit on the CDs, Lebo needs to first calculate the cost per CD after a 5% discount and then add 40% to this cost to determine the selling price per CD.

Step-by-step explanation:

Lebo buys blank writable CDs in bulk and gets a discount. He wants to sell them individually to make a profit. First, we calculate the total cost Lebo pays after the discount. He receives a 5% discount on R40, so the cost is R40 - 5% of R40. Then to find out how much he must sell each CD to achieve a 40% profit, we add 40% profit margin to the cost per CD and round if necessary to get the selling price per CD.

The calculation steps are as follows:

Calculate the discount amount: 5% of R40 = R2.

Subtract the discount from the initial cost: R40 - R2 = R38 for 50 CDs.

Calculate the cost per CD: R38 / 50 = R0.76 per CD.

Calculate the selling price per CD including 40% profit: R0.76 + 40% of R0.76.

After calculating the selling price per CD including the profit, Lebo will know at what price to sell the CDs.

User Seb DA ROCHA
by
2.2k points
18 votes
18 votes

Answer:

  1. He must sell each CD for R1,10 to make 40% profit

Step-by-step explanation:

R40×5%=2

R40-2=R38

40%×38=R15,2

15,2+40=55,2

55,2÷50=R1,10

i didnt do the radio sum...

User Smentek
by
2.7k points
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