A shoe company will make a new type of shoe The fixed cost f

A shoe company will make a new type of shoe. The fixed cost for the production will be $24,000. The variable cost will be $38 per pair of shoes. The shoes will sell for $105 for each pair. What is the profit if 600 pairs are sold?

Solution

We know porofit =(earning - fixed cost- variable cost)

Profit =( 600*105) - 24,000 - 600*38= (63000-24000-22800) =(63000-46800) =16200
Profit = $16200