How much can I sell these for?

How much the company need ? How many helicopters can be built? How much to sell before making a profit?

• The Air Ways Helicopter Company is planning to produce its latest model, the Sir Star. After extensive research, the company has determined that it will cost $11 million to produce the first one. This amount includes the cost of setteing up the factory and the machinery After that, each additional helicopter will cost $3 million to produce. How much money will the company need to build the helicopters? How many helicopters can it build for $47 million? If the company charges $5.5 million for each helicopter, how many must it sell before making a profit? Make sure to add how you got the answer and what steps it took to get that answer.

• Answer:

  47million would be enough for helicopter 1 costing 11 million leaving 36 million which would be enough for another 12 helicopters at 3 million each. so 13 helicopters in all for your 47 million outlay if the helicopters were being sold for 5.5 million each we can take it case by case one helicopter costs 11 million and sold for 5.5 million - total - 5.5 million two helicopters costing at (11+3=14) million and sold for 11 million = a loss of 3 million three helicopters costing (11+ 2x3= 17)million and sold for 3x5.5 million IE 16.5 million so producing a loss of half a million 4 helicopters costing (11 + 3x3 = 20 million) and sold for 4 x 5.5 million = 22 million and hence a PROFIT of 2 million so the answer is 4 helicopters to make a profit alternatively (not sure if we need to take the overall 47 million into account) we can list it as follows 47/5.5 gives us a minimum of 8 needed to recoup our monies entirely with the remaining 5 helicopters giving us pure profit