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Wildhorse offers an MP3 download (seven-single medley) as a premium for every 5 candy bar wrappers presented by customers together with $2.95. The candy bars
Wildhorse offers an MP3 download (seven-single medley) as a premium for every 5 candy bar wrappers presented by customers together with $2.95. The candy bars are sold by the company to distributors for 30 cents each. The purchase price of each download code to the company is $2.70. In addition, it costs 50 cents to distribute each code. The results of the premium plan for the years 2020 and 2021 are as follows. (All purchases and sales are for cash.)
2020 | 2021 | |||
MP3 codes purchased | 305,000 | 402,600 | ||
Candy bars sold | 2,837,400 | 2,628,700 | ||
Wrappers redeemed | 1,464,000 | 1,830,000 | ||
2020 wrappers expected to be redeemed in 2021 | 353,800 | |||
2021 wrappers expected to be redeemed in 2022 | 427,000 |
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