Question
Grass Inc. sells lawn mowers. This year, they plan to produce 250 lawn mowers and incur total material and labor costs of $6,000. Producing lawn
Grass Inc. sells lawn mowers. This year, they plan to produce 250 lawn mowers and incur total material and labor costs of $6,000. Producing lawn mowers also requires a product design consultant which costs $4,000 per year. Rent on the factory amounts to $5,000 per year. A customer approached Grass Inc. and offered to purchase 50 lawn mowers at a discount. If the company normally charges $61 per lawn mower, what is the maximum discount they would be willing to offer (assuming theyd accept the offer as long as profit is positive)?
It says the answer is D, please show how to find that.
a. $1 discount b. $17 discount c. $21 discount d. $37 discount
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