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Question

A company sells radios for 15.00 dollars each. It costs the company 14.00 dollars per radio to produce 1,000 radios and 13.50 dollars per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

Answer Choices

A. $500 dollars$
B. $1,000 dollars$
C. $1,500 dollars$
D. $2,000 dollars$
E. $2,500 dollars$

Steps

Explanation	Calculations	Help
$We first create variables for revenue, cost, and profit for 1,000 and 2,000 radios$	$R_{1000}, C_{1000}, P_{1000}, R_{2000}, C_{2000}, P_{2000}$	Theory & Tactics Method Card TRANS1-A Click to view full details
$We translate "A company sells radios for 15.00 dollars each" and "production and sale of 1,000 radios" using the revenue formula$	$R_{1000} = 15.00 \times 1000 = 15000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We translate "costs the company 14.00 dollars per radio to produce 1,000 radios" using the cost formula$	$C_{1000} = 14.00 \times 1000 = 14000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We use the profit formula to find profit for 1,000 radios$	$P_{1000} = R_{1000} - C_{1000} = 15000 - 14000 = 1000$	Theory & Tactics Method Card TRANS3-A Click to view full details
$We translate "A company sells radios for 15.00 dollars each" and "production and sale of 2,000 radios" using the revenue formula$	$R_{2000} = 15.00 \times 2000 = 30000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We translate "13.50 dollars per radio to produce 2,000 radios" using the cost formula$	$C_{2000} = 13.50 \times 2000 = 27000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We use the profit formula to find profit for 2,000 radios$	$P_{2000} = R_{2000} - C_{2000} = 30000 - 27000 = 3000$	Theory & Tactics Method Card TRANS3-A Click to view full details
$We translate "How much greater will the company’s gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?" using subtraction$	$Δ P = P_{2000} - P_{1000} = 3000 - 1000 = 2000$	Theory & Tactics Method Card TRANS1-D Click to view full details

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Final Answer

2000

Question

A company sells radios for 15.00 dollars each. It costs the company 14.00 dollars per radio to produce 1,000 radios and 13.50 dollars per radio to produce 2,000 radios. How much greater will the company's gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?

Answer Choices

A. $500 dollars$
B. $1,000 dollars$
C. $1,500 dollars$
D. $2,000 dollars$
E. $2,500 dollars$

Steps

Explanation	Calculations	Help
$We first create variables for revenue, cost, and profit for 1,000 and 2,000 radios$	$R_{1000}, C_{1000}, P_{1000}, R_{2000}, C_{2000}, P_{2000}$	Theory & Tactics Method Card TRANS1-A Click to view full details
$We translate "A company sells radios for 15.00 dollars each" and "production and sale of 1,000 radios" using the revenue formula$	$R_{1000} = 15.00 \times 1000 = 15000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We translate "costs the company 14.00 dollars per radio to produce 1,000 radios" using the cost formula$	$C_{1000} = 14.00 \times 1000 = 14000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We use the profit formula to find profit for 1,000 radios$	$P_{1000} = R_{1000} - C_{1000} = 15000 - 14000 = 1000$	Theory & Tactics Method Card TRANS3-A Click to view full details
$We translate "A company sells radios for 15.00 dollars each" and "production and sale of 2,000 radios" using the revenue formula$	$R_{2000} = 15.00 \times 2000 = 30000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We translate "13.50 dollars per radio to produce 2,000 radios" using the cost formula$	$C_{2000} = 13.50 \times 2000 = 27000$	Theory & Tactics Method Card TRANS3-B Click to view full details
$We use the profit formula to find profit for 2,000 radios$	$P_{2000} = R_{2000} - C_{2000} = 30000 - 27000 = 3000$	Theory & Tactics Method Card TRANS3-A Click to view full details
$We translate "How much greater will the company’s gross profit be from the production and sale of 2,000 radios than from the production and sale of 1,000 radios?" using subtraction$	$Δ P = P_{2000} - P_{1000} = 3000 - 1000 = 2000$	Theory & Tactics Method Card TRANS1-D Click to view full details

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Final Answer

2000