Misu Sheet, owner of the Bedspread Shop, knows his customers will pay no more than $155 for a comforter. Misu Sheet wants to advertise the comforter as "percent markup on cost." a. What is the equivalent rate of percent markup on cost compared to the 20% markup on selling price? Note: Round your answer to the nearest hundredth percent. Rate of percent b. Is this a wise marketing decision? Yes % Ο ΝΟ Help Save & Exit

Misu Sheet, owner of the Bedspread Shop, knows his customers will pay no more than $155 for a comforter. Misu Sheet wants to advertise the comforter as "percent markup on cost." a. What is the equivalent rate of percent markup on cost compared to the 20% markup on selling price? Note: Round your answer to the nearest hundredth percent. Rate of percent b. Is this a wise marketing decision? Yes % Ο ΝΟ Help Save & Exit

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter8: Tactical Decision-making And Relevant Analysis

Section: Chapter Questions

Problem 9MCQ: Carroll Company, a manufacturer of vitamins and minerals, has been asked by a large drugstore chain...

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Misu Sheet, owner of the Bedspread Shop, knows his customers will pay no more than $145 for a comforter. Misu Sheet wants to advertise the comforter as "percent markup on cost." a. What is the equivalent rate of percent markup on cost compared to the 20% markup on selling price? (Round your answer to the nearest hundredth percent.).
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PLEASE ANSWER ASAP! THANK YOU! 1. After determining the total product cost of P100.00 per unit, Mr. Abecee the owner, decided to set mark-up of 15% on cost of his product. Determine the final retail price per unit of product. Show your solution. 2. What is the pricing strategy used by Mr. Abecee? Briefly explain this pricing strategy. 3. How many units must be sold for Mr. Abecee to Break-even if Fixed Cost isPhp 100,000, Unit Selling Price is Php10.00 and Unit Variable cost is Php.5.00. 4. Differentiate geographical pricing from psychological pricing. 5. If you are to put -up a small start-up business with a starting capital of P50,000 ...a) What business will it be? andb) What will be your best pricing strategy? Justify.
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Homoward Hardware buys cat liter for $6 less 20% per bag. The store's overhead is 45% of cost and the owner requires a profit of 20% of cost (a) (b) (c) (d) (e) (7) For how much should the bags be sold? What is the amount of markup included in the selling price? What is the rate of markup based on selling price? What is the rate of markup based on cost? What is the break-even price? What operating profit or loss is made if a bag is sold for $7 509
Ingrid is planning to expand her business by taking on a new product that costs $7.56. In order to market this new product, $1307.00 must be spent on advertising. The suggested retail price for the product is $11.31. (a) If a price of $14.49 is chosen, how many units does she need to sell to break even? (b) If advertising is increased to $1674.00, and the price is kept at $11.31, how many units does she need to sell to break even?
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A clothing company has determined that if the price of a T-shirt is K40, then 150 will be demanded by T-shirt wearers. When the price is K45, then 100 T-shirts are demanded by T- shirts wearers.(a) Find the price-demand equation, assuming that it is linear.(b) Find the revenue function.(c) Find the number of items sold that will give the maximum revenue. What is the maximum revenue?(d) What is the price of each item when maximum revenue is achieved?
Question: The Savannah Shirt Company is considering adding a new product line, a cloth shopping bag with custom screen printing that will be sold to grocery stores. If the current market price of cloth shopping bags is $1.25 and the company desires a net profit of 40%, what is the target cost? The company estimates the full product cost of the cloth bags will be $0.60. Should the company manufacture the cloth bags? Why or why not?
a retailer wants to add a line of bike carriers to his sports department and plans to sell one model at $39.99. If he can buy a good product for $32.50 less 20%, will he be able to get his usual markup of 42% on the selling price and sell the carrier at the price he set?
You are the sales manager for Mighty Widgets Manufacturers Inc. You are negotiating a 25% markup based on manufacturer selling price to Widget Wholesalers, a promising new prospect. However, Widget Wholesalers are used to % markup based on retail purchase price. You want to help them understand what you are offering and decide to express it in terms that the Widget Wholesalers can readily understand and relate to. Pick the correct equivalent of the 25%: O 31.25% O 33.33% O 20% O 18.75% O 26 25%
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