Calculate the cost per batch and cost per light fitting using given values, then determine the profit or loss for a specific number of light fittings sold.

Steps to Solve

1. Calculate Cost per Light Fitting

First, we need to find the cost per light fitting using the given values. The formula is:

$$ \text{Cost per light fitting} = \frac{\text{Cost per batch}}{\text{Number of light fittings per batch}} $$

Using the given values:

• Cost per batch = £148.88
• Number of light fittings per batch = 60

So,

$$ \text{Cost per light fitting} = \frac{148.88}{60} = 2.48 $$

2. Calculate Profit or Loss per Light Fitting

Next, we determine the profit or loss per light fitting using the given selling price and cost per light fitting. The formula is:

$$ \text{Profit or loss per light fitting} = \text{Selling price per light fitting} - \text{Cost price per light fitting} $$

Using the provided values:

• Selling price per light fitting = £8.76
• Cost price per light fitting = £2.48

Thus,

$$ \text{Profit or loss per light fitting} = 8.76 - 2.48 = 6.28 $$

3. Calculate Total Profit or Loss

Finally, calculate the total profit or loss if the company sells 388 light fittings. The formula is:

$$ \text{Total profit or loss} = \text{Profit or loss per light fitting} \times \text{Number of light fittings sold} $$

Using our earlier calculation and the number of light fittings sold:

$$ \text{Total profit or loss} = 6.28 \times 388 $$

Calculating this gives:

$$ \text{Total profit or loss} = 2,438.64 $$