Sails Ahoy, a Small Company That Makes Model Sailboat Kits

question 63

Multiple Choice

Sails Ahoy, a small company that makes model sailboat kits priced at $120 each, spends $45 on materials and $5 in labour to produce each kit.The company incurs monthly expenses of $1,000 for rent and insurance, $200 for heat and electricity, $500 for advertising, and $3,500 for the proprietor's salary.If Sails Ahoy sells 150 kits in a given month, its monthly profit will be _____.

• A)$5,300
• B)$10,500
• C)$12,700
• D)$12,800

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Definitions:

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