Question
A company offers its customers one movie ticket if they send in 10 tokens from its product of pop-corn box. During the year to 31
A company offers its customers one movie ticket if they send in 10 tokens from its product of pop-corn box. During the year to 31 December the company sold 2,000,000 units of its product and provided 1 token for each product. Customers redeemed 800,000 tokens receiving 80,000 movie tickets so far. The company estimates that a total of 70% of the tokens will be redeemed overall. If each movie cost the company 3 each, how much provision for this promotion should be made at the end of the year?
Please step by step calculations to answer the question!!
A. 4,200,000
B. 420,000
C. 240,000
D. 180,000
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