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What is the net profit from selling 6000 units? (A) $500 (B) $1000 (C) $1500 (D) $2000 - HSC - SSCE Business Studies - Question 12 - 2002 - Paper 1

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What is the net profit from selling 6000 units? (A) $500 (B) $1000 (C) $1500 (D) $2000

Worked Solution & Example Answer:What is the net profit from selling 6000 units? (A) $500 (B) $1000 (C) $1500 (D) $2000 - HSC - SSCE Business Studies - Question 12 - 2002 - Paper 1

Step 1

Calculate Net Profit

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Answer

To determine the net profit from selling 6000 units, we need to know the selling price per unit and the total costs (including fixed and variable costs). The formula for net profit can be expressed as:

Net Profit=Total RevenueTotal Costs\text{Net Profit} = \text{Total Revenue} - \text{Total Costs}

Where total revenue is calculated as:

Total Revenue=Number of Units Sold×Selling Price per Unit\text{Total Revenue} = \text{Number of Units Sold} \times \text{Selling Price per Unit}

If the respective values for selling price and costs are provided, substitute them into the formulas.

Assuming, for example, we have a selling price of xperunit,andtotalcostsamountingtox per unit, and total costs amounting to y, the net profit from selling 6000 units would be:

Total Revenue=6000×x\text{Total Revenue} = 6000 \times x

Total Costs=y\text{Total Costs} = y

Calculating the net profit then gives:

Net Profit=(6000×x)y\text{Net Profit} = (6000 \times x) - y

Then, choose the answer that corresponds to the calculated net profit.

Step 2

Final Answer Selection

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Answer

Based on assumptions that led to calculating the net profit, if the derived value corresponds to one of the options, select the appropriate choice. For example, if the calculated net profit equals 1000,thenthefinalanswerwouldbe(B)1000, then the final answer would be (B) 1000.

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