Bernie’s Bike Shop receives the following trade discounts: 35/25/15. The vendor’s price list indicates that 35 percent off list price is for purchasing bikes in quantities of 100 or more, 25 percent off list price is for assembling the bikes for customers, and 15 percent is for sales promotion and local advertising. If the manufacturer’s list price is $470, what should Bernie pay for each bike if he orders 110 bikes at a time, assembles the bikes, and displays and advertises them? -Bernie will pay $194.76 for each bike. What is Bernie’s single equivalent discount rate? c. How much will Bernie pay the manufacturer for each bike if he orders 10 bikes at a time and takes advantage of the other discounts
Bernie’s Bike Shop receives the following trade discounts: 35/25/15. The vendor’s price list indicates that 35 percent off list price is for purchasing bikes in quantities of 100 or more, 25 percent off list price is for assembling the bikes for customers, and 15 percent is for sales promotion and local advertising. If the manufacturer’s list price is $470, what should Bernie pay for each bike if he orders 110 bikes at a time, assembles the bikes, and displays and advertises them? -Bernie will pay $194.76 for each bike. What is Bernie’s single equivalent discount rate? c. How much will Bernie pay the manufacturer for each bike if he orders 10 bikes at a time and takes advantage of the other discounts
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
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-Bernie’s Bike Shop receives the following trade discounts: 35/25/15. The vendor’s price list indicates that 35 percent off list price is for purchasing bikes in quantities of 100 or more, 25 percent off list price is for assembling the bikes for customers, and 15 percent is for sales promotion and local advertising.
- If the manufacturer’s list price is $470, what should Bernie pay for each bike if he orders 110 bikes at a time, assembles the bikes, and displays and advertises them? -Bernie will pay $194.76 for each bike.
- What is Bernie’s single equivalent discount rate? c. How much will Bernie pay the manufacturer for each bike if he orders 10 bikes at a time and takes advantage of the other discounts?
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