Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The reduction $ for LY ($49.50) and TY ($49.21) are almost equal. Explain why this is the case and how the markdown (reduction) strategy for

The reduction $ for LY ($49.50) and TY ($49.21) are almost equal. Explain why this is the case and how the markdown (reduction) strategy for TY will benefit seasonal profitability.

image text in transcribed

\begin{tabular}{|c|c|c|c|c|c|c|c|c|} \hline Sales (LY) & $225.00 & & & & & & & \\ \hline% Planned Increase & 15.00% & & & & & & & \\ \hline Planned Sales for Period & $258.75 & note that this \# & # is rounded ur & p for season tc & otal in (H14) & & & \\ \hline Initial Markup \% & 52.95% & & & & & & & \multirow[b]{3}{*}{ AUGUST } \\ \hline \multirow[t]{2}{*}{ Planned Reductions \% } & \multicolumn{6}{|c|}{19.00% note: that this % is based on plan for TY and on result of LY season } & & \\ \hline & FEB & MAR & APR & MAY & JUNE & JULY & SEASON & \\ \hline Sales Distribution & 13.16% & 17.23% & 15.77% & 17.05% & 18.95% & 17.84% & 100.00% & 17.14% \\ \hline Stock-Sales Ratio & 5.43 & 4.17 & 5.19 & 4.95 & 4.03 & 4.83 & 1.26 & 4.75 \\ \hline Reductions Distribtution & 2.20% & 2.00% & 2.10% & 3.90% & 5.00% & 3.80% & 19.00% & \\ \hline PLANNED MONTHLY SALES & $34.08 & $44.63 & $40.84 & $44.16 & $49.08 & $46.21 & $259.00 & $44.39 \\ \hline PLANNED MONTHLY BOM & $185.05 & $186.11 & $211.98 & $218.59 & $197.79 & $223.17 & $204.79 & $210.85 \\ \hline PLANNED MONTHLY EOM & $186.11 & $211.98 & $218.59 & $197.79 & $223.17 & $210.85 & & \\ \hline PLANNED MONTHLY REDUCTIONS & $5.70 & $5.18 & $5.44 & $10.10 & $12.95 & $9.84 & $49.21 & \\ \hline PLANNED PURCHASES AT RETAIL & $40.84 & $75.68 & $52.89 & $33.46 & $87.41 & $43.73 & & \\ \hline PLANNED PURCHASES AT COST (O & $19.22 & $35.61 & $24.89 & $15.74 & $41.12 & $20.57 & & \\ \hline \end{tabular}

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Ecological Forest Management

Authors: Jerry F. Franklin, K. Norman Johnson, Debora L. Johnson

1st Edition

1478633506, 978-1478633501

More Books

Students also viewed these General Management questions