Footware manufacturing is projected to decrease output by 8.4% from 2006 to 2016. If footware manufacturing had 1.8 billion dollars of output in 2006, approximately how much output is expected in 2016? a. $1.95 billion b. $2.64 billion c. $1.55 billion d. $1.65 billion
Answers
The answer is $1.65 billion. Footwear is a unique product category since the manufacturers have to make their products in different sizes, designs and colors but are not sure if all of them will be sold in the market. There is a general trend that sizes 41-44 may be fast moving among men while for the women and children the sizes keep varying. In terms of color, black, brown and burgundy are common. But if people's tastes change and only black shoes are sold, the rest will have to offered at discounted prices and the manufacturers have to bear the losses. This may be one of the reasons for this decline in output.
The answer will be $1.65 billion.
The total output of the work is decreased up by 8.4% which will make the per cent of the output to be 100 – 8. 4.
Hence, it is 91.6%
Now remove the percentage sign, you will get .916
Calculate the price with 91.6% of the total dollar which is 1.8 billion
On calculating, the answer will be 1.65 billion.