Answered

Welcome to Westonci.ca, the ultimate question and answer platform. Get expert answers to your questions quickly and accurately. Get detailed and precise answers to your questions from a dedicated community of experts on our Q&A platform. Our platform offers a seamless experience for finding reliable answers from a network of knowledgeable professionals.

A company makes a product and has no way to determine which ones are faulty until an unhappy customer returns it. Three percent of the products are faulty and will cost the company $200 each in customer service and repairs. If the company does not refund the customer when repairing the item, how much should the company charge to make a profit of $2. 00 per item? $6. 00 $6. 19 $8. 00 $8. 25.

Sagot :

dubeyshailja64

Price is the amount charged by the company for its goods or services. The price to be charged by the company to earn a profit of $2 is $8.

What is Price?

Price refers to the quantity of money charged for a product or service. Simply, price is the value of a good or service. It s an important element of the marketing mix.

The given question states that three percent of the product of the company are faulty and costs the company $200. The company desires to make a profit of $2 per product.

Let x be the price per product.

The price to be charged for each product can be determined as:

[tex]\begin{aligned} \rm Profit \:per\:product &=\rm Price\:per\:product - Cost\:due\:to\:faulty\:product\\\\\$2 &= x - (0.03 \times $200)\\\\\$2 &= x - \$6\\\\x &= \$2 +\$6\\\\x &= \$8\end[/tex]

Therefore the price to be charged is $8.

Learn more about price here:

https://brainly.com/question/25300841

Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Thank you for visiting. Our goal is to provide the most accurate answers for all your informational needs. Come back soon. Thank you for using Westonci.ca. Come back for more in-depth answers to all your queries.