Question
Banana fruits from other out grower farmers nearby the company's processing plant location. The export price of Green Banana from India was 36,778.85 Indian Rupee
Banana fruits from other out grower farmers nearby the company's processing plant location. The
export price of Green Banana from India was 36,778.85 Indian Rupee per metric tons at the
country's seaport, Port of New Mumbai Port.
This Geewin Exim Company export price has a markup of 70% of the farm gate price for banana
sources from private small holder farms (out growers) who grow Banana in India. Mirawell General
Trading Co. LLC. is a UAE Company that imports fruits including the Green Banana to the USA.
Shipping cost of Green Banana to USA port is 200 US$ per metric ton. Importer company
(Mirawell General Trading Co. LIC) makes a margin of 0.50 AED per kg and sell banana at a
wholesale price of 2.96 AED/kg to other companies who buy banana from wholesalers, store
banana, and provide logistic services and distribute it to department stores . Target buys Green
Banana at 4.00 AED/kg from the companies who are engaged in the storage and logistics business.
In January 2022, the consumer price of a 500-gram Green Bananas in target in USA was 2.90 AED.
Answer the following questions:
1) Based on the above information, determine the value break down (in percentage terms) of
Green Bananas sold at Target in the USA for:
a) The Retailer market (Target)
b) The storage and logistics provider companies
c) The wholesalers who sell banana to storage providers
d) The Geewin Exim Company in India
) The Banana grower farmers (out growers) in India.
2) Suppose the Target in Crystal city sells 3000 kilograms of Green Bananas in one day,
how much Net income does Targetmake or earn from sales of this brand of banana?
Note: Currency Exchange rate: 1 USD = 3.685 and 1 USD = 74.90 Indian Rupee.
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