Question

1. Mammoth Mart Inc. operates over 11,000 stores​ world-wide selling​ clothes, groceries, sporting​ goods, and general household goods. The company generated ​$447 of sales per square foot last year with total revenues of​ $476 billion. What is the average size of a Mammoth Mart​ store? (Answer in number of square feet.​ i.e., a ​two-by-two square has an area of four square​ feet.)

2. Onlywhiteshirts Inc. sells one​ product: white shirts. It had revenues of​ $50 million last year. This year it expects to sell 2​%

more shirts and it plans to raise the price of its shirts by 2​%. At what rate will sales rise this​ year, compared to last​ year? (Express your answer in percentage form rounded to two decimal​ places.)

Answer 1

1) Total Revenue of Company = $476,000,000,000

Per Square foot revenue= $447

So total square foot = 476000000000/447 = 1,064,876,957.49

Total number of stores = 11000

So average square foot of store = 1064876957.49/11000 = 96,807 square feet

2) Revenue = per shirt price* number of Shirts

This year increase in price =2%

increase in sales = 2%

So (1+increase in revenue)% = (1+increase in sales)* (1+increase in price)

increase in revenue = 1.02*1.02-1 = 4.04%

Thanks