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Furniture Madness Inc. recently purchased 900 mattresses from a supplier for its big-box stores. The cost for these mattresses was $135,000, or $150 per
Furniture Madness Inc. recently purchased 900 mattresses from a supplier for its big-box stores. The cost for these mattresses was $135,000, or $150 per mattress. Furniture Madness established the selling price on these mattresses at $212 each. The store manager noted that the mattresses were selling quickly and changed the selling price to $230 per unit. This made the price too high for customers and sales lagged. The manager then responded by reducing the selling price to $216. At the end of the summer, the manager set the price of the remaining mattresses at $182. Not all mattresses were sold and all remaining units went to storage until the next season. When the next season started, the remaining mattresses were put on sale for $203 each. Calculate the per-unit (a) markup, (b) markup cancellation, (c) markdown, and (d) markdown cancellation. (a) Markup $ 62 per unit (b) Markup cancellation $ -18 per unit (c) Markup cancellation $ -18 per unit Markdown -4 per unit (d) Markdown cancellation $ 9 per unit eTextbook and Media Save for Later Attempts: 1 of 3 used Submit Answer
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