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A shopkeeper bears an expenditure of Rs. 122 for the production of every item. He also incurs an additional expenditure of Rs. 27,000 which is not related to the number of items produced. He will have to sell the item for Rs. 225 during the season. If he fails to do so, he will have to sell each item for Rs. 75. If he produces 1500 items and is able to sell all the items produced, how much items do he sell during the season so that he does not make any profit or loss?

A shopkeeper bears an expenditure of Rs. 122 for the production of every item. He also incurs an additional expenditure of Rs. 27,000 which is not related to the number of items produced. He will have to sell the item for Rs. 225 during the season. If he fails to do so, he will have to sell each item for Rs. 75. If he produces 1500 items and is able to sell all the items produced, how much items do he sell during the season so that he does not make any profit or loss? Correct Answer 650

Given:

Total items produce = 1500

During the season he sells the item at = Rs. 225

And after the season he sells the item at = Rs. 75

Calculation:

Expenditure to produce the items = 1500 × 122 = Rs. 183000

Additional expenditure on items = Rs. 27000

⇒ Total expenditure = (183000 + 27000) = Rs. 210000

Let the number of items sold during the season be ‘x’

According to the question,

225 × x + 75 × (1500 – x) = 210000

⇒ 225x + 112500 – 75x = 210000

⇒ 150x = 97500

⇒ x = 650

∴ Number of items sold during the season = 650

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