Question

Radwyn Horticulture is a company which focuses upon selling saplings. The company can grow a sapling for $15.45, and can sell that sapling for $36.50. There are three main salespeople at Radwyn Horticulture, each of whom earns a different commission per sapling sold, as shown in the table below. Salesperson Commission/Sale Lara $8.15 Ian $11.25 Ari $8.90 Radwyn Horticulture’s fixed overhead expenses last month came to $7,699.45. It is known that one salesperson sold 191 saplings, one salesperson sold 245 saplings, and one salesperson sold 221 saplings. Which arrangement of sales would cause Radwyn Horticulture to break even? a. Lara sells 221 saplings; Ian sells 191 saplings; Ari sells 245 saplings b. Lara sells 221 saplings; Ian sells 245 saplings, Ari sells 191 saplings c. Lara sells 191 saplings; Ian sells 221 saplings, Ari sells 245 saplings d. Lara sells 191 saplings; Ian sells 245 saplings, Ari sells 221 saplings

Answer 1

Answer:

A is the answer no doubt!

Step-by-step explanation:

Answer 2

The break even point of Radwyn's horticulture is the point where the company made no profit or loss

The arrangement of sales that would cause the company to break even is (a) Lara sells 221 saplings; Ian sells 191 saplings; Ari sells 245 saplings

How to determine the break even point

Represent Lara's sales with x, Ian's sales with y and Ari's sales with z.

So, we have:

$8.15x + 11.25y + 8.9z = 7699.45$

When Lara sells 221 saplings, Ian sells 191 saplings and Ari sells 245 saplings, the company was at the break even point

This is so because, the company do not make profit or loss at that point

Hence, the true statement is (a)

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