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Javier is the business manager at his college. In his role, Javier makes a lot of business decisions. Javier has installed a vending machine in

  1. Javier is the business manager at his college. In his role, Javier makes a lot of business decisions. Javier has installed a vending machine in a dorm for soft drinks. The machine rents for $200 a month and the electrical use is minimal. Javier buys soft drinks for $.25 each and charges $.75 each from the vending machine. Currently, the machine has a sales volume of 400 cans a month. Javier thinks lowering the price to $.60 each will increase sales by 100 cans a month. What affect will this have on profit or loss?
    a.
    Loss of $100
    b.
    Profit of $200
    c.
    Profit of $100
    d.
    Loss of $25

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