marketing
posted by Kay .
Matt owns a donut shop. He rents a space for $1500 a month and pays his only employee $300 a month. Matt can serve 1000 donuts each month. His variable cost per donut is $2. what price does Carlos need to charge in order to make a profit of $2000 per month? A. $3.80 B. $5.80. and why?
Boy. those are expensive donuts. And what a strange demand curve Matt faces.
Use algebra. Total costs are 1500+300+(2*1000) = $3800.
If he manages to sell hs 1000 donuts for 5.80 each, total revenue is $5800 giving him a $2000 cash profit.
Respond to this Question
Similar Questions

Calculus
A donut is generated by rotating the circle, S, defined by (x3)^2 +y^2 =4 about the y axis. If the anagement of dunkin donuts wants to know how to price these donuts use intergral calculus to help them (i) set up a definite intergral … 
Math
Irma rents movies online each month it costs her a fee of $4.99 per month plus an additional $0.99 for each video game that she rents. Which equation can be used to find c, the cost Irma pays each month to rent movies and x video games? 
Math Help? Check my answers.
1. r/5 = 9/21 r = 9 r = 2.14 r = 11.66 r = 37.8 2. A recipe calls for 3 cups of flour to make 3 dozen cookies. Use the proportion to calculate how much flour is needed to make 9 dozen cookies. 3cups/3dozen = xcups/9dozen 6 cups 3.5 … 
accounting II
Joshua owns an apartment complex with 7 tenants. Each unit rents for $1,500 per month. At the end of April, three tenants were past due on paying their rent. Which of the following represents the correct adjusting journal entry Matt … 
Algebra 2
Janine is considering two movie rental plans. Plan A can be modeled with the equation C=3m and Plan B can be modeled with the equation C=2m+5 where C represents the cost in dollars and M represents the number of movies rented each … 
Algebra
A shop sells coffee and donuts. The coffee sells for $4.31 and donuts for $0.83 apiece. The cost to produce a cup of coffee is $1.50 and the cost to make a donut is $0.76. In month 1 the quantity of coffee sold is 1,283 and donuts … 
operation managment
Garden Variety Flower shop uses 625 clay pots a month. The pots are purchased at $2 each. Annual carrying costs per pot are estimated to be 15 percent of cost, and ordering costs are $125 per order. The manager has been using an order … 
Math help
Formulate a linear programming problem for the following situation. Homer Simpson has created two donut assortments for the the Springfield donut shop. The bargain assortment includes 4 pink frosted and 8 glazed donuts and the deluxe … 
Math
A donut shop charges $.70 for each donut and $.30 for a carry out box. Shirley has five dollars to spend. At most how many donuts can she buy if she also wants them in a carryout box? 
math
Lucy's employer pays 70% of the total cost of her family's health insurance plan, while Lucy pays the rest. If the total cost of the plan will increase from $450 per month to $650 per month, how much more will Lucy have to pay each …