Answer:
The company must sell 250 cameras in a day to equal its daily cost.
If the manufacturer can increase production by 50 cameras per day, then the daily profit will be $300.
Step-by-step explanation:
A camera manufacturer spends $1500 each day for overhead expenses plus $9 per camera for labor and materials. The cameras sell for $15 each.
So, the daily cost for manufacturing x cameras is 1500 + 9x.
Now, the cameras sell for $15 each.
So, the selling price for x cameras is 15x.
If the cost and selling price of x cameras in a day are the same, then
1500 + 9x = 15x
⇒ 6x = 1500
⇒ x = 250
Therefore, the company must sell 250 cameras in a day to equal its daily cost. (Answer)
Now, if the daily production increases by 50 cameras, then there will produce (250 + 50) = 300 cameras daily.
In that case profit of the company will be
15x - [1500 + 9x]
= 15 × 300 - [1500 + 9 × 300]
= $300 (Answer)
