|
Question 1037908: You are a restaurant manager and are responsible for ordering ingredients for the restaurant. At Supplier #1, you can purchase 20 gallons of milk for $70.00. At Supplier #2, you can purchase 50 quarts of milk for $33.50. At Supplier #3, you can purchase 15 gallons for $48.75 and receive 8 quarts free.
Which supplier is the best deal?
Answer choices: Supplier #1, Supplier #2, Supplier #3, Both #2 and #3.
I chose Supplier #3 and it was wrong.
Answer by Theo(13342) (Show Source):
You can put this solution on YOUR website! cost per gallon for supplier 1 is 70/20 = 3.50
cost per gallon for supplier 2 is 33.50 / (50/4) = 2.68
cost per gallon for supplier 3 is 48.75 / 17 = 2.87
it looks like supplier two is the cheapest.
let's look at it again in a little more detail.
there are different measures (quarts/gallons) that you need to keep track of.
the best thing to do is to convert everything to the same measure.
you can use quarts or gallons but you should not use both.
i will convert everything to gallons.
supplier 1 gives you 20 gallons for 70 dollars.
it's already in gallons so no conversion is necessary.
to find the cost per gallon, divide 70 dollars by 20 gallons to get 3.50 for each gallon.
supplier 2 gives you 50 quarts for 33.50 dollars.
you should convert this to the common measure of gallons before doing any analysis.
50 quarts / 4 = 12.5 gallons.
to find the cost per gallon, divide 33.50 dollars by 12.5 gallons to get 2.68 for each gallon.
supplier 3 gives you 15 gallons for 48.75 plus he gives you 8 quarts free.
8 quarts / 4 = 2 gallons, so you are getting 17 gallons for 48.75.
to find the cost per gallon, divide 48.75 dollars by 17 gallons to get 2.87 for each gallon.
supplier 1 costs 3.50 per gallon.
supplier 2 costs 2.68 per gallon.
supplier 3 costs 2.87 per gallon.
supplier 2 is the cheapest.
|
|
|
| |