Answer :
To calculate the profit per bag for the bags sold at [tex]$3.00 each, we can follow these steps, based on the information given in the table.
1. Identify the sales price for each bag:
\[
\text{Sales Price} = \$[/tex]3.00
\]
2. Identify the total cost per unit:
- Variable Cost per Bag: [tex]$\$[/tex]0.40[tex]$ - Fixed Cost per Bag: $[/tex]\[tex]$0.25$[/tex]
- Therefore, Total Cost per Bag: [tex]\(0.40 + 0.25 = \$0.65\)[/tex]
[tex]\[ \text{Total Cost} = \$0.65 \][/tex]
3. Calculate the profit per bag:
This is done by subtracting the total cost per bag from the sales price.
[tex]\[ \text{Profit per Bag} = \text{Sales Price} - \text{Total Cost} \][/tex]
Plugging in the values:
[tex]\[ \text{Profit per Bag} = 3.00 - 0.65 = \$2.35 \][/tex]
So, the profit per bag when sold at [tex]$3.00 each is $[/tex]2.35.
\]
2. Identify the total cost per unit:
- Variable Cost per Bag: [tex]$\$[/tex]0.40[tex]$ - Fixed Cost per Bag: $[/tex]\[tex]$0.25$[/tex]
- Therefore, Total Cost per Bag: [tex]\(0.40 + 0.25 = \$0.65\)[/tex]
[tex]\[ \text{Total Cost} = \$0.65 \][/tex]
3. Calculate the profit per bag:
This is done by subtracting the total cost per bag from the sales price.
[tex]\[ \text{Profit per Bag} = \text{Sales Price} - \text{Total Cost} \][/tex]
Plugging in the values:
[tex]\[ \text{Profit per Bag} = 3.00 - 0.65 = \$2.35 \][/tex]
So, the profit per bag when sold at [tex]$3.00 each is $[/tex]2.35.