Explain simply why 670 is the correct answer to: Apple sold 100 iPhones at their New York store today for an average cost of $1000. They also sold 20 iPads for an average cost of $900 and 80 Apple TVs for an average cost of $200. What was the average cost across all products sold today?. Explanation:
The sales for iPhones were 100 iPhones * $1000 per iPhone on average = $100,000. The sales for iPads today were 20 iPads * $900 per iPad = $18,000. The sales for Apple TV’s today were 80 * $200 = $16,000. The total sales for Apple at their New York store today was $100,000 + $18,000 + $16,000 = $134,000. The total number of products sold was 100 + 20 + 80 = 200. The average cost per product sold was $134,000 total sales / 200 total products = $670.