Question

Aunt Sally’s “New Orleans Most Famous Pralines” sells pralines costing $1.02 each to make. If Aunt Sally’s wants a 40% markup based on selling price and produces 30 pralines with an anticipated 16% spoilage, what should each praline be sold for?

Answer 1

Answer:

$1.7

Explanation:

The price for cost price for each praline is $1.02

Aunt sally produces 30 pralines.

the total cost for all 30 pralines will be:  $1.02 x 30

                                                  total cost : =30.6

A 40 % mark up will result in be  $30.6 x 1.4

Aunt sally intend to make sales worth : $42.84

selling price per praline considering 16 % spoilage

Expected spoilage  =16/100 x30

                             =4.8

Sell-able production = 30-4.8

                                  =25.2

Selling price per unit = total revenue expected / sell-able units

                                 =$42.84/25.2

                                  = $1.7