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only d) answer please and I want to know why it was loss . thanks in advance 22. Jacob's Creek sells dining room tables to
only d) answer please and I want to know why it was loss .
22. Jacob's Creek sells dining room tables to Ashley Furniture for a suggested price of $1999 less a trade discount of 40% and an early order discount of 10%. Ashley decides to sell the tables for $2199. During a promotion, Ashley offers a 10% markdown on the tables, so that the planned profit at the sale price is $395. a. What is the amount of markdown and the reduced selling price? (Ans: $219.90;$1979.10 ) b. What is the amount of overhead expense and the original operating profit? (Ans: $504.64;$614.90 ) c. What would be the amount of markdown and the rate of markdown required to break even? (Ans: \$614.90; 27.96\%) d. What would be the profit or loss at the sale price if the sale price is set to cost? (Ans: Loss of $504.64 ) thanks in advance
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