Question

A computer chip manufacturer had net sales of $350 million with returns equal to 1/50 of gross sales. Find gross sales rounded to the nearest million given the net sales equals gross sales less returns

Answer 1

We are given:

Net Sales = Gross Sales - Returns

Or,

$NS=GS-R$

Given,

Net Sales = 350,000,000

Return = (1/50th) Gross Sales

Let's find Gross Sales:

$\begin{gathered} NS=GS-R \\ 350,000,000=GS-\frac{1}{50}GS \\ 350,000,000=\frac{49}{50}GS \\ GS=\frac{350,000,000}{\frac{49}{50}} \\ GS=350,000,000\times\frac{50}{49} \\ GS\approx\ 357,142,857.14 \end{gathered}$

Gross Sales is approximately $357, 142, 857. 14

Rounded to nearest million:

$357,000,000 (357 million)