Question
Main Company sells video streaming devices for $100. A one-year subscription to unlimited video streaming costs $150. Alternatively, customers can rent videos on demand or
Main Company sells video streaming devices for $100. A one-year subscription to unlimited video streaming costs $150. Alternatively, customers can rent videos on demand or subscribe to a competing service. In an effort to boost December sales prior to the release of a second generation device, Main offers the device at a sharp discount.The discount specifically applies to the streaming device.If during December a customer purchases the streaming device with a 1-year subscription for $210, Main should allocate how much of the total contract price to the streaming service?
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