Perfume King
perfume king
For business majors only! Help?
The organized crime boss and perfume king Butch (Stinky) Rose has daily overheads (bribes to corrupt officials, motel photographers, wages for hit men, explosives, etc.) amounting to $25,000 per day. On the other hand, he has a substantial income from his counterfeit perfume racket: he buys imitation French perfume (Chanel No. 22.5) at $10 per gram, pays an additional $50 per 100 grams for transportation, and sells it via his street thugs for $800 per gram. Calculate how much perfume should pass through Stinky's hands per day in order that he break even. (Give the answer to two decimal places.)
Use this formula:
profit = price times # sold - variable costs times # sold minus fixed costs.
Profit = 800*X -60*X -25,000
Set Profit equal to zero and solve for X.
If he has all that perfume, why is he stinky?
Flame by Burger King: Perfume Review / Fragrance Review
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