Multiple Choice
Parker Industries is a small company with a big name! Parker Industries is actually a one-person company that imports strands of LED lights from China and sells them through its website. Parker's only overhead is a storage unit for inventory that costs $125 a month and a $25 monthly fee for website hosting. Currently, Parker imports the lights for $.99 each (including inbound shipping) and sells them for $4.49. Parker also pays shipping expenses of $.50 per light strand. If Parker is currently selling 50 units a month, what is Parker's monthly profit or loss?
A) $0
B) $224.50 (profit)
C) $49.50 (profit)
D) −$74.50 (loss)
Correct Answer:
Verified
Correct Answer:
Verified
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