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Turki Co. imports aluminum bars from Italy and sets up Kitchen furniture in Kuwait. Turki makes profit margin of KD 50. The KD has appreciated
Turki Co. imports aluminum bars from Italy and sets up Kitchen furniture in Kuwait. Turki makes profit margin of KD 50. The KD has appreciated about 8% during the April-August 2018 period. Hence, to draw more sales, Turki decided (due to lower aluminum imported bars) to lower its unit furniture price (i.e. measured in meters) from KD 150 to KD 135. By how much (in % form) Turki Co. needs to increase its sales to justify the price cut (to balance the price cut from KD 150 to KD 135)?
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