Question

Kristi sells purses. Her cost is $35 per purse. On a certain day, she sells 12 purses, and her producer surplus for that day amounts to $180. Kristi sold each purse for Group of answer choices $65 $50 $45 $53

Answer 1

$50

Step-by-step explanation:

The computation of the selling price of each purse is shown below:

As we know that

Selling price = Total value ÷ number of purses sold

where,

Total value is

= Cost of the purse × number of purses sold + producer surplus

= $35 × 12 purses + $180

= $600

And, the number of purses sold is 12

So, the selling price of each purse is

= $600 ÷ 12 purses

= $50