Enable Edtung s you heed to edi, it'S saler to slay in Protected View Reactivate SUBSCRIPTION EXPIRED To keep using Excel without interruption please reactivate now. SIGN IN TO OFFICE it looks like your stored credentials are out of date. Please sign in as Educationrockscolumbus@outlook.com so we can verdy you subsc ES5 F Marketing Arithmetic Exercise Calculations 2 3Initlal Data: 4 Margin Structure Factors 6 Retail Price S Retail Margin/Unit Wholes ale Margin/Unit 20/000.000 00 33% 12% Market Factors Total Units in Market Brand X Market Share 24% 7 Variable Cost Factors: Vanable Mig Cost/Unit $ 9 0.09 0.02 10% 900,000 500,000 35,000 Fixed Cost Factors: Fixed Mfg Costs: $ Advertising Budget $ Prod. Mgr. Salary S 10 Shipping, etc /Unit Commissions 11 12 13 Question 1: What is the unit contribution for Brand X? 14 15 Key Formulas: 16 Wholesale Selling Price Retail Price x (100 % Retail Margin / Unit) 17 Manufacturer's Selling Price - Wholesale Selling Price x (100 % - Wholesale Margin/Unit) 18 19 Commissions/Unit Commission x Manufacturer's Selling Price 20 21 Contribution per Unit Manufacturer's Selling Price - Variable Costs/Unit 22 23 Step 1: Determine Manufacturer's Selling Price 24 25 26 27 Wholesale Selling Price: Problems 1-4 solutions Ready OType here to search Retail Price Retail Margin/Unit Wholesale Margin/Unit 3396 12% Variable Cost Factors: Variable Mfg Cost/Unit 0.09 0.02 10% Fixed Cost Factors 10 Shipping, etc./Unit $ Commissions Advertisig Prod Ma 11 12 44 45 46 Question 2: What is Brand X's break-even point? Unit Contribution: 47 48 Key Formula: Breakeven Units Fixed Costs divided by Unit Contribution 49 50 Fixed Costs: 51 52 53 Question 3: What market share does Brand X need to break even? Breakeven Units: 54 55 Key Formula: Breakeven market share Breakeven Units divided by Total Units in Market 56 57 58 Breakeven Market Share: Problems 1-4 solutions Ready Type here to search Rata Marinit Wholesale Margin/Unit 7 129% Variable Cost Factors: Variable Mfg Cost/Unit 0.09 Fixed Cost ac 10 11 12 13 Question 1: What is the unit contribution for Brand X? Shipping etc./Unit: Commissions 0.02 10% 14 15 Key Formulas: 16 Wholesale Selling Price Retail Price x (100% -Retail Margin/Unit) 17 Manufacturer's Selling Price Wholesale Selling Price x (100% - Wholesale Margin/Unit) 18 19 Commissions/Unit Commission x Manufacturer's Selling Price 20 21 Contribution per Unit Manufacturer's Selling Price - Variable Costs/Unit 22 23 Step 1: Determine Manufacturer's Selling Price 24 Wholesale Selling Price: 27 Problems 1-4 solutions Ready Type here to search 262 vanable Mig Cost/Unit 0.09 0.02 10% xed 10 11 12 Shipping atc /Unit Commissions 31 32 33 Manufacturer's Selling Price: 34 Step 2: Determine Total Variable Costs 35 36 37 38 39 40 Variable Mfg. Cost/Unit: Shipping, etc./Unit: Commission/Unit: Total Variable Costs per unit: 41 Step 3: Determine Unit Contribution 42 43 44 Unit Contribution: Problems 1-4 solutions Ready Type here to search 0.09 0.02 10% 10 11 12 52 53 Question 3: What market share does Brand X need to break even? 54 55 Key Formula: Breakeven market share =Breakeven Units divided by Total Units in Market 56 57 58 59 Question 4: What is Brand X's profit impact? 60 61 Key Formulas: 62 Unit Volume Total Units in Market x Market Share 63 Profit Impact (Unit Volume x Unit Contribution) - Fixed Costs Shipping, etc /Unit Commissions Breakeven Market Share: 64 65 Unit Volume: 66 Profit Impact: Problems 1-4 solutions Ready OType here to search