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Ships Ahoy Is a Small Company That Makes Model Sailboat

Question 92

Multiple Choice

Ships Ahoy is a small company that makes model sailboat kits priced at $120 each.(There is no quantity discount.) The cost of the materials that go into each kit is $45.It costs $5 in labour to assemble a kit.The company has monthly expenses of $1,000 for rent and insurance,$200 for heat and electricity,$500 for advertising,and $3,500 for the monthly salary of its owner.Last month the company sold 150 kits.Ships Ahoy's total revenue for the month was:


A) $6,750.
B) $7,500.
C) $10,500.
D) $18,000.

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