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    Question

    If the company decides to offer a 10% discount on the

    selling price of Product A for a special promotion, calculate the new selling price for Product A. If all units produced are sold at this price, what will be the adjusted profit for Product A? Direction: A manufacturing company produces three products: A, B, and C. The following table summarizes the production details for each product over a period of 5 months, including the cost price (CP), selling price (SP), and units produced each month.
    A New SP тВ╣270, Adjusted Profit тВ╣20,000 Correct Answer Incorrect Answer
    B New SP тВ╣270, Adjusted Profit тВ╣42,700 Correct Answer Incorrect Answer
    C New SP тВ╣275, Adjusted Profit тВ╣40,000 Correct Answer Incorrect Answer
    D New SP тВ╣280, Adjusted Profit тВ╣60,000 Correct Answer Incorrect Answer
    E New SP тВ╣260, Adjusted Profit тВ╣30,000 Correct Answer Incorrect Answer

    Solution

    New Selling Price for Product A = 300 - (10% of 300) = 300 - 30 = тВ╣270 Total Selling Price for Product A at new price = 610 ├Ч 270 = тВ╣164,700 Adjusted Profit for Product A = Total SP - Total CP = 164,700 - 122,000 = тВ╣42,700

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