Task two

Michelle works as a buying officer in a large hardware store. Every month, she has to replace sold stock and order new products. She also orders general supplies for the office and staff.

This month Michelle needs to order paint and is told by the supplier that a bulk purchase discount of 10 per cent will apply if she orders a pallet of each paint type. The paint usually costs $25,000. She also has to order some outdoor furniture from a new supplier. The supplier tells her that if she orders over $10,000 worth of stock, he will give her a 10 per cent discount. Michelle is ordering $10,500 worth of stock this month.

Michelle receives a bill from the power company that offers a five per cent discount if the bill is paid within seven days. The bill is for $2,500. A staff member tells Michelle that the local supermarket has a half-price sale on coffee and tea products that the staff prefer to drink. These supplies cost $400 to replenish quarterly.

If Michelle took advantage of all of the specials, how much money could she save the company?