A manufacturer undertakes to supply 2000 piec | vedclass

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Question

(B) Selling Price $(S.P.)$ of one piece $= Rs. 25$.Total pieces $= 2000$.If $5\%$ fail,the number of accepted pieces $= 2000 	imes (1 - 0.05) = 1900$

Vedclass · Accepted Answer

$13000$

Vedclass · Answer

(B) Selling Price $(S.P.)$ of one piece $= Rs. 25$.Total pieces $= 2000$.If $5\%$ fail,the number of accepted pieces $= 2000 	imes (1 - 0.05) = 1900$.Revenue from $1900$ pieces $= 1900 	imes 25 = Rs. 47500$.Since the manufacturer expects a $25\%$ profit on the Cost Price $(C.P.)$,we have $S.P. = C.P. 	imes (1 + 0.25)$.$47500 = C.P. 	imes 1.25 \implies C.P. = 47500 / 1.25 = Rs. 38000$.Now,if $50\%$ of components are rejected,the number of accepted pieces $= 2000 	imes 0.50 = 1000$.Actual Revenue $= 1000 	imes 25 = Rs. 25000$.Loss $= C.P. - 	ext{Actual Revenue} = 38000 - 25000 = Rs. 13000$.

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