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Dairy product manufacturer can sell each product at Rs. 100 after providing discount the cost of which includes Rs. 50 for materials and labor to produce each item. He incurs Rs. 5000 per week as overhead expense to run the plant. How many products should be produced and sell per week to earn the minimum profit of Rs. 2500 per week?

Dairy product manufacturer can sell each product at Rs. 100 after providing discount the cost of which includes Rs. 50 for materials and labor to produce each item. He incurs Rs. 5000 per week as overhead expense to run the plant. How many products should be produced and sell per week to earn the minimum profit of Rs. 2500 per week? Correct Answer None of these

Selling price = Rs. 100

Cost price = Rs. 50

⇒ Amount earned per product = 100 - 50 = Rs. 50

⇒ Total amount per week = Amount of spending + Amount of profit

⇒ Rs. (5000 + 2500) = Rs. 7500

∴ Number of products = (7500/50) = 150

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