Sona K.

asked • 10/13/20

Please help me with this question.

During a recent thunderstorm, a bolt of lightning damages an old fudge machine at Freddie's Fudge Factory. The machine produces 40 fudge popsicles per hour with a maintenance cost of $4 per hour, and it would cost $8,000 to repair it. Instead of fixing the damaged machine, Freddie could al so opt to purchase a new state-of-the-art model for $20,000. If the new machine has an output capacity of 60 fudge popsicles per hour and a maintenance cost of $3 per hour, how many fudge popsicles would Freddie need to make before buying the new machine becomes more profitable than fixing the old one? (Assume that the cost of materials for the fudge popsicles is negligible.)


(A) 40,000 (B) 75,000 (C) 120,000 (D) 195,000 (E) 240,000

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