Last month, Inessa made 3 orders to replenish inventory. Her first order was for 400 units at $15.25; the second order was for 300 units for $16.50 and the last order was for 525 units at $17.80. The average price of the units is $16.40.

Question

Quizplus · Accepted Answer

To find the average price of the units, you need to calculate the total cost of all units and divide by the total number of units. The total cost is (400 * $15.25) + (300 * $16.50) + (525 * $17.80) = $6,100 + $4,950 + $9,345 = $20,395. The total number of units is 400 + 300 + 525 = 1,225. The average price per unit is $20,395 / 1,225 = $16.65, not $16.40.

Last Month, Inessa Made 3 Orders to Replenish Inventory