Question

Bill buys and sells laptops. Last month Bill bought 50 laptops. He paid £400 for each laptop. He sold 40 of these laptops at a profit of 30% on each laptop and 10 of these laptops at a profit of 15% on each laptop. Bill's target last month was to sell all 50 laptops for a total of at least £25 000. Did Bill reach this target?

Answer 1

Answer:

Yes, in fact Bill exceeded his target by £2,200.

Step-by-step explanation:

Cost of the laptops = 50 x 400

= 20,000

Sold 40 at 30% profit

(40 x 400) x 1.30

= 20,800

Sold 10 at 15% profit

(15 x 400) x 1.15

= 6900

Total sales value

= 20800 + 6900 = 27,700

Answer 2

Bill's total sales are greater than his target, that is, £25,400>£25,000. So, we can say that Bill reached his target.

What are the different aspects of buying and selling goods?

• Cost Price(C.P.): Price at which the good is bought.
• Selling Price(S.P.): Price at which the good is sold.
• Profit: When S.P. > C.P., profit takes place. Profit = S.P. - C.P.
• Loss: When C.P. > S.P., loss takes place. Loss = C.P. - S.P.

Note: Profit and loss are always calculated on C.P.

How do we solve the given question?

Bill buys 50 laptops for £400 each.

∴ His C.P. of each laptop = £400.

He sells them in two parts,

Part 1:

He sells 40 laptops at 30% profit on each laptop.

∴ Profit on each laptop = 30% of C.P. = 30% of £400 = £(0.3*400) = £120

∴ S.P. of each laptop = C.P. + Profit = £400 + £120 = £520

Total sales 1 = Number of laptops * S.P. of each = 40*£520 = £20,800.

Part 2:

He sells 10 laptops at 15% profit on each laptop.

∴ Profit on each laptop = 15% of C.P. = 15% of £400 = £(0.15*400) = £60

∴ S.P. of each laptop = C.P. + Profit = £400 + £60 = £460

Total sales 2 = Number of laptops * S.P. of each = 10*£460 = £4,600.

Bill's total sales after both parts = Total sales 1 + Total sales 2

or, Bill's sales = £20,800 + £4,600 = £25,400.

Since Bill's total sales are greater than his target, that is, £25,400>£25,000. So, we can say that Bill reached his target.

Learn more about the different aspects of buying and selling goods at

https://brainly.com/question/19104371

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