Ships Ahoy is a small company that makes model sailboat kits priced at $120 each.(There is no quantity discount.)The cost of the materials that go into each kit is $45.It costs $5 in labour to assemble a kit.The company has monthly expenses of $1,000 for rent and insurance,$200 for heat and electricity,$500 for advertising,and $3,500 for the monthly salary of its owner.Last month the company sold 150 kits.Ships Ahoy's total revenue for the month was:
A)$6,750.
B)$7,500.
C)$10,500.
D)$18,000.

Question

Quizplus · Accepted Answer

The total revenue is calculated by multiplying the number of kits sold by the price per kit. Therefore, 150 kits x $120 per kit = $18,000.

Ships Ahoy Is a Small Company That Makes Model Sailboat