A hotel has a foyer shop that sells tourist clothing and souvenirs. The shop manager likes to keep 80% of the following month's projected T-shirt sales in stock. Projected T-shirt sales in the next two months are:
$\begin{array} { | l | c | c | } \hline & \text { July } & \text { August } \\\hline \text { Projected number of T-shirts to be sold } & 480 & 560 \\\hline\end{array}$
The shop has projected it will be holding 384 T-shirts in stock on 1^st July.
Required:
If the T-shirts cost $2.50 each, what is the cost of T-shirt purchases to be made in July?

Question

A hotel has a foyer shop that sells tourist clothing and souvenirs. The shop manager likes to keep 80% of the following month's projected T-shirt sales in stock. Projected T-shirt sales in the next two months are:

\begin{array} { | l | c | c | } \hline & \text { July } & \text { August } \\\hline \text { Projected number of T-shirts to be sold } & 480 & 560 \\\hline\end{array}

The shop has projected it will be holding 384 T-shirts in stock on 1^st July.
Required:
If the T-shirts cost $2.50 each, what is the cost of T-shirt purchases to be made in July?

Quizplus · Accepted Answer

The shop needs 80% of August's sales in stock by the end of July, which is 0.8 * 560 = 448 T-shirts. Starting with 384 T-shirts, they need to purchase 448 - 384 = 64 T-shirts. The cost is 64 * $2.50 = $160. Additionally, they need to replenish the stock sold in July, which is 480 T-shirts, costing 480 * $2.50 = $1,200. Total cost = $160 + $1,200 = $1,360.

A Hotel Has a Foyer Shop That Sells Tourist Clothing