SOLUTION: A producer is planning to produce a new type of tyre. The fixed costs are sh 320million and the variable costs are sh 31,250 per tyre. The wholesale price will be sh 43,750 per tyr

Algebra ->  Coordinate Systems and Linear Equations  -> Linear Equations and Systems Word Problems -> SOLUTION: A producer is planning to produce a new type of tyre. The fixed costs are sh 320million and the variable costs are sh 31,250 per tyre. The wholesale price will be sh 43,750 per tyr      Log On


   

Question 1135989: A producer is planning to produce a new type of tyre. The fixed costs are sh 320million and the variable costs are sh 31,250 per tyre. The wholesale price will be sh 43,750 per tyre. How many tyres must he produce to break even?
Ann works as a saleslady in a mobile phone company. Her daily wages is composed of a fixed amount and a variable component, which is dependent on the number mobile phones sold. She finds that when she sells 10 mobile phones on a given day, she earns Sh 600 whereas when she doubles her sales her earnings increase by only Sh 100. Determine:
i) Her fixed daily earnings
ii) Level of commission per unit sold
iii) What are her earnings if she sells 30 units?
iv) On a given day Ann is determined to earn Sh 3500. Suppose on the previous day she had guaranteed orders of 20 mobile phones, how many more must she sell in order to achieve her target earnings?
Answer by josgarithmetic(39618) About Me  (Show Source):
You can put this solution on YOUR website!
The Ann Saleslady example
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Points (x,y) for x number of phones and y wages
(10, 600) and (20, 600+100)
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FORM: y=mx+b
m=100%2F20=5
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mx=y-b
b=y-mx
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b=600-5%2A10
b=600-50
b=550
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highlight%28y=5x%2B550%29
The question parts i, ii, iii, & iv can be answered from that.