Answered

Looking for answers? Westonci.ca is your go-to Q&A platform, offering quick, trustworthy responses from a community of experts. Get quick and reliable answers to your questions from a dedicated community of professionals on our platform. Connect with a community of professionals ready to provide precise solutions to your questions quickly and accurately.

A company makes a $5 profit on each non-faulty product it sells. Approximately 2% of the products manufactured are faulty, with no way to discover which ones are faulty before delivery. If replacement-and-repair costs for the faulty products are $100 each, what is the profit per item? loss of $15. 10 loss of $15 profit of $2. 90 profit of $3. 0.

Sagot :

abiolataiwo2015

Based  on the information given the profit per item is $2.90.

First step is to calculate the company profit

Profit=(100%-2%)×$5

Profit=98%×$5

Profit=$4.9

Second step is to calculate the profit per item

Profit per item=$4.9-($100×2%)

Profit per item=$4.9-$2

Profit per item=$2.90

Inconclusion  the profit per item is $2.90.

Learn more here:https://brainly.com/question/1656767

Thank you for trusting us with your questions. We're here to help you find accurate answers quickly and efficiently. Thank you for your visit. We're dedicated to helping you find the information you need, whenever you need it. Thank you for using Westonci.ca. Come back for more in-depth answers to all your queries.