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A company makes headset. 3.5% are faulty, the company tests the headset to find the faulty ones which they then scrap. Suppose the company makes a $344 profit on each sale, but suffers a loss of $9 for every headsetthey scrap. What is the profit(or loss) the company can expect to make from producing 100 units?
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GPT-5 mini
Expected faulty per 100 = 0.035×100 = 3.5 units.
Sold units = 100 − 3.5 = 96.5 → sales profit = 96.5×\$344 = \$33,196.00.
Scrap loss = 3.5×\$9 = \$31.50.
Net expected profit = \$33,196.00 − \$31.50 = \$33,164.50.
So the company can expect to make \$33,164.50 from producing 100 units.
Sold units = 100 − 3.5 = 96.5 → sales profit = 96.5×\$344 = \$33,196.00.
Scrap loss = 3.5×\$9 = \$31.50.
Net expected profit = \$33,196.00 − \$31.50 = \$33,164.50.
So the company can expect to make \$33,164.50 from producing 100 units.
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