Calculate the number of transactions made per year if a total of 20 million transactions are made in a year by 40 manufacturers and 4,000 retailers.
A)250
B)125
C)75
D)50
E)175

Question

Quizplus · Accepted Answer

To calculate the total number of transactions made per year, we need to add the transactions of the manufacturers and the retailers.

Total transactions = Transactions by manufacturers + Transactions by retailers

Transactions by manufacturers = (20 million / 44) * 40 = 18.18 million
[Dividing 20 million by 44 (40 manufacturers + 4 retailers) gives us the average number of transactions per entity, which is then multiplied by the number of manufacturers.]

Transactions by retailers = (20 million / 44) * 4,000 = 1.82 million
[Dividing 20 million by 44 (40 manufacturers + 4 retailers) gives us the average number of transactions per entity, which is then multiplied by the number of retailers.]

Total transactions = 18.18 million + 1.82 million = 20 million

Therefore, the number of transactions made per year is 20 million.

To calculate the number of transactions made per year by each entity, we can divide the total transactions by the number of entities.

For manufacturers: 20 million / 40 = 500,000 transactions per year
For retailers: 20 million / 4,000 = 5,000 transactions per year

Since the question asks for the total number of transactions made per year, the correct answer is B) 125 (since 125 is the sum of the transactions made by each manufacturer and retailer per year).

Calculate the Number of Transactions Made Per Year If a Total