Question

Rebecca Clarke's Nursery sells border plants for home gardeners at a discounted price of

$12.99. Rebecca Clarke's has 335 plants it needs to sell. Fixed costs for all these plants were
$1,675 and variable costs per plant are $3.65. What is the maximum profit Rebecca Clarke's
will make if it sells all the plants at the discounted price?

Answer 1

$1,540.70

Explanation:

1675/335 = 5

3.65 * 335 = 1222.75

Cost of $8.65 per plant, or $2,897.75 for every plant.

12.99 - 8.65 = 4.34

Profit of $4.34 per plant, or $1,540.70 total.