After the buyer reviewed the stock condition of the department, it appeared that the present inventory was higher than planned. The report revealed the following: To ensure this high-volume period (Thanksgiving Sale) is successful, the proper pricing of the new purchase and an accurate count of the present inventory is essential. The buyer also noted that there is $1,000 of markdown money wallable in November. To decide how to use the avaltable November markdown money, the buyer came up with two potential courses of action. - Option 1: Use the markdown money to clear the present inventory by marking down the three problematic present item groups - the broken (Group 2), slow seling (Group 3), and solled (Group 4)-to $20, while maintaining the ortiginal tetall prices (\$16 for Group A. \$18 for Group B, and \$20 for Group C) for the new promotionat purchase as well as maintaining the original price (\$25) of the current and salable group (Group 1) of the present inventory. - Option 2: Use the markdown money to generate excitement in the store, by marking down the new promotional purchase from their original retail prices so that all three new merchandise groups (Groups A, B, \& C) will sell for a promotional marhip of 50%, whille selling alt the present inventory groups at their current prices: 3. Ausume that whichever course of action the buyer takes, all the present inventory and new promotional purchase will sell out and there will be no other markdowns, based on these assumptions, decide which option the buyer should purnue and mathematiclly justify vour suggestion. (20 Points Yotal] Stept: Calculate and compare the (1) 5Net Sales, (2) \$Net Markdown, and (3) Maintained Markup\% that can be achieved on the entire merchandise (includine both the present inventory and new promotional purchase) when each course of action is taken. ACMEMers: SMarkdown is caiculated based on how much reduction is taken from the initial (original) retail price, not the current retail price. (a) Option 1: What is the SNer Sales? (2.5 Points) (b) Option I: What is the SNet Markdown? (2.5 Points) (c) Ootion st Whot is the Meintained Morkipks (3 Poines) (d) Option 2: What is the SWet Sales? (3 Points) (e) Option 2: What is the SNet Markdown? (2.5 Points) (1) Option 3. What is the Mointained Morhups? (2) 5 Poince) (a) Which option do you recommend and why? (4 points)