The planned initial markup in a department, as indicated on the merchandise plan, is 42.5%. The planned sales for the month of July are $38,000 with markdowns of 5.5%. The merchandise plan also indicates that the planned BOM stock for the month is $36,700 and the planned EOM stock is $37,500. As of July 1 the buyer has merchandise on order of $12,000 at retail to be delivered during the month. Calculate the buyer’s OTB at retail as of July 1.   a. $28,090.00 b. $28,890.00 c. $48,700.00 d. $16,611.75 e. $16,151.75

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
icon
Related questions
Question

The planned initial markup in a department, as indicated on the merchandise plan, is 42.5%. The planned sales for the month of July are $38,000 with markdowns of 5.5%. The merchandise plan also indicates that the planned BOM stock for the month is $36,700 and the planned EOM stock is $37,500. As of July 1 the buyer has merchandise on order of $12,000 at retail to be delivered during the month. Calculate the buyer’s OTB at retail as of July 1.

 

a. $28,090.00

b. $28,890.00

c. $48,700.00

d. $16,611.75

e. $16,151.75

Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
Recommended textbooks for you
Essentials Of Investments
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
FUNDAMENTALS OF CORPORATE FINANCE
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:
9781260013962
Author:
BREALEY
Publisher:
RENT MCG
Financial Management: Theory & Practice
Financial Management: Theory & Practice
Finance
ISBN:
9781337909730
Author:
Brigham
Publisher:
Cengage
Foundations Of Finance
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education