Calculate the additional weekly profit the business would make if it produced and sold 5000 novelty mugs every week.

Selling price of novelty mug= £4; Cost of making mug= £2; Distribution cost= £50 for every 100 mugs sold. Therefore, 1) 5000 x £4= £20,000; 2) 5000 x £2= £10,000 3) £20,000- £10,000 = £10,000; 4) 5000/100= 50; 5) 50 x 50= £2,500; 6) £10,000- £2,500=£7,500

JB
Answered by Jack B. Business Studies tutor

1934 Views

See similar Business Studies GCSE tutors

Related Business Studies GCSE answers

All answers ▸

1) What does the overall marketing mix create? b) Explain USP in the context of marketing.


Exaplain one advantage and one disadvanatge of an organisation beocming multinational


What are some of the most relevant pricing strategies?


PDL set an overall training budget of £30 000 and allocated £9 000 for this year’s team building day. Recommend whether they should spend £9 000 on the team building day again next year. Give reasons for your answer.


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning