Maddie Noticed That Many Students on Campus Had T-Shirts and Sweatshirts

question 31

Multiple Choice

Maddie noticed that many students on campus had t-shirts and sweatshirts with Greek organization letters or club names on them. Recognizing that there was a huge market for this attire, Maddie rented a store front and a silk screening machine to get into the t-shirt business. Maddie's rent is $1,000 a month, including utilities. The silk screen machine leases for $300 a month. Maddie can buy blank t-shirts for $6 each and sweatshirts for $10 each. Maddie calculated the cost of materials for the silk screening at $2 per unit. If Maddie sells a screened t-shirt for $15 and a sweatshirt for $25 each, which would she prefer the customer purchase?

• A) Sweatshirt because the contribution margin is higher
• B) T-shirt because the cost of production is lower
• C) Sweatshirt because the selling price is higher
• D) T-shirt because the contribution margin is higher

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Definitions:

2,6-heptanedione

An organic compound characterized by a seven-carbon chain with ketone groups located at the second and sixth carbons.

Crossed Aldol Reaction

An aldol reaction where two different aldehydes or ketones are combined in the presence of a base or acid to produce a β-hydroxy aldehyde or ketone.

Self-aldol Condensation

A reaction where an aldehyde or ketone undergoes condensation with itself in the presence of a base to form a β-hydroxycarbonyl compound (an aldol) or a dehydrated version thereof.

Predict Outcome

The process of forecasting or determining the probable results or consequences of a chemical reaction or experiment.