Assume that Cane expects to produce and sell 86,000 Alphas during the current year. A supplier has offered to manufacture and deliver 86,000 Alphas to Cane for a price of $104 per unit. If Cane buys 86,000 units from the supplier instead of making those units, how much will profits increase or decrease

Profit increased by 2236000

Explanation:

Hello, I feel that a part of the question might be missing here. I took the liberty of finding it and have attached it as a document titled "Question".

In order to find the profit, we require certain information:

1. Selling Price per unit: $150

2. Quantity sold: 86,000 units

3. Cost per unit: $130 if manufactured by Cane. $104 if purchased through supplier.

I will show the calculation in two different methods, personally I find method two easier :)

Method 1

Total Profit = Total Revenue - Total Costs

1. If manufactured by Cane, profit:

(150 x 86000) - (130 x 86000) = $12900000 - $11180000 = $1720000

2. If purchased from supplier, profit:

(150 x 86000) - (104 x 86000) = $12900000 - $8944000 = $3956000

Method 2

Total Profit = [(Selling price per unit - Cost per unit) x Total quantity sold]

1. [($150 - $130) x 86000] = $1720000

2. [($150 - $104) x 86000] = $3956000

Therefore, profit has increased from $1720000 to $3956000 by $2236000.

if you use only 25 for your entertainment and only 200 for the groceries that you really need and take out the 50 per month for the computer then that should be enough

answermeasured by how well she or he does the job'; /