Question

Bruce owns a business that produces widgets. He must bring in more in revenue than he pays out in costs in order to make a profit. • It costs $10 in labor and materials to make each of his widgets. • His rent each month for his factory is $4,000. He sells each widget for $25. What is the smallest number of widgets Bruce needs to sell each month to make a profit?

Answer 1

Bruce needs to sell 267 widgets each month to make a profit.

Explanation:

From the information given, you can write that the cost of the monthly rent plus the cost in labor and materials to make each widget for the number of widgets is equal to the amount of sales:

10x +4000 = 25x

Now, you can solve for x:

4000 =25x-10x

4000=15x

x= 266.67→267

According to this, the answer is that Bruce needs to sell 267 widgets each month to make a profit.