Question
The next two questions refer to the following fictional financial statement from Sharpie Markers, who sells their markers directly to consumers for $2/marker. Revenue: $500,000
The next two questions refer to the following fictional financial statement from Sharpie Markers, who sells their markers directly to consumers for $2/marker.
Revenue: $500,000
Plastic: $200,000
Ink: $1,000
Advertising: $5,000
Overhead: $1,000
Depreciation: $25
How many additional pens would Sharpie have to sell to maintain their current contribution to the organization if they invest $25,000 in advertising?
A. | None of the above, but I could calculate this with the information I am given.
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B. | 20,904
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C. | None of the above, I cannot calculate this with the information I am given.
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D. | 836 | |
E. | 21,259 |
Assume Sharpie wants to launch a Holly Jolly promotion, where they would discount their pens by 10%. How many more pens would they have to sell to justify this promotion from a contribution perspective?
A. | None of the above, I cannot calculate this with the information I am given.
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B. | 25.13% more pens
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C. | 20.08% more pens
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D. | None of the above, but I could calculate this with the information I am given. |
Assume Sharpie wants to do both the Holly Jolly Promotion AND invest in a $10,000 sales promotion campaign? How many more pens would they to sell to justify both of these efforts?
A. | None of the above, I cannot calculate this with the information I am given.
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B. | 10,246 | |
C. | None of the above, but I could calculate this with the information I am given.
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D. | 10,041 |
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