Rita is manufacturing special candies for weddings. Manufacturing this exclusive candy cost Rs. 300 per piece and an additional expense of Rs. 20,000. If rita sells her candies during weddings then S.P. of candy is Rs. 450 per piece but during off season she sells it at Rs. 200 per piece. Rita has already manufactured 2000 candies then how many candies should she sell in the upcoming wedding season to attain zero profit zero loss mark.
Rita is manufacturing special candies for weddings. Manufacturing this exclusive candy cost Rs. 300 per piece and an additional expense of Rs. 20,000. If rita sells her candies during weddings then S.P. of candy is Rs. 450 per piece but during off season she sells it at Rs. 200 per piece. Rita has already manufactured 2000 candies then how many candies should she sell in the upcoming wedding season to attain zero profit zero loss mark. Correct Answer 880
Given:
Manufacturing cost = Rs 300 per piece
Additional cost = Rs 20000
S.P. 1 = Rs 450 per piece
S.P. 2 = Rs 200 per piece
Calculation:
Total expense of manufacturing 2000 candies = (2000 × 300) + 20000
⇒ Total expense of manufacturing candies = Rs 620,000
⇒ Let, Candies sold in wedding season = X
⇒ Candies sold in off season = 2000 – X
⇒ Candies sold to meet zero profit zero loss mark = (450 × X) + ((2000 – X) × 200)
⇒ 450X + 400,000 – 200X
⇒ Candies sold to meet zero profit zero loss mark = 250X + 400,000
⇒ 250X + 400,000 = 620,000
⇒ 250X = 220,000
⇒ X = 880
∴ rita needs to sell 880 candies