Answer to Question #101949 in Financial Math for Ellen

Question

Ryan buys some jumpers to sell on a stall.
He spends £180 buying 40 jumpers.
He sells 60% of the jumpers for £7 each.
He then puts the rest of the jumpers on a Buy one get one half price offer.
He manages to sell half the remaining jumpers using this offer.
How much profit does Ryan make?

Answer 1

1) The total cost of buying jumpers £180

2) Sold 60% for £ 7 for each jumper: 24 *£ 7 = £168, where 60% of jumpers is 40 * 0.6 = 24

3) The remainder of jumpers: 40-24 = 16

4) Sells half the remaining half price: 8 * £3.5 = £28

5) Total sales revenue: £168 + £28 = £196

6) Total sales profit: £196 -£180 = £16