Question
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis is 60%. The manufacturers markup on a selling price basis is 50%. (In performing all calculations round off to two decimal places).
(a) What is the manufacturers contribution per unit (CPU)?
$11.89 | ||
$7.18 | ||
$21.77 | ||
$15.16 |
Part 2
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis is 60%. The manufacturers markup on a selling price basis is 50%. (In performing all calculations round off to two decimal places).
(b) What is the retailers markup (%) on a cost basis?
150% (rounded) | ||
123% (rounded) | ||
89% (rounded) | ||
97% (rounded) |
Part 3
-
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis is 60%. The manufacturers markup on a selling price basis is 50%. (In performing all calculations round off to two decimal places).
(c) What is the wholesalers cost per tea kettle?
$9.46
$21.11
$15.76
$13.24
Part 4
-
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis is 60%. The manufacturers markup on a selling price basis is 50%. (In performing all calculations round off to two decimal places).
(d) What is the retailers contribution margin (CM)?
71% (rounded)
44% (rounded)
60% (rounded)
29% (rounded)
PArt 5
-
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis is 60%. The manufacturers markup on a selling price basis is 50%. (In performing all calculations round off to two decimal places).
(e) What is the wholesalers markup (%) on a cost basis?
36.65%
43.18%
41,23%
52.16%
PArt 6
-
A consumer buys a pair of Dockers mens casual pants for $59.95. The manufacturer's cost is $8.58. The retailers markup on a selling price basis is 60%. The manufacturers markup on a selling price basis is 50%. (In performing all calculations round off to two decimal places).
(f) If the manufacturer sells 1,016,840 units of these pants, what is the manufacturers total contribution?
$7,812,334.84
$10,866,544.27
$7,300,911.20
$5,398,252.61
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