You are a fashion jewelry buyer for a major specialty store. On November 1, one of your vendors has immediate availability for boxed jewelry pins and earrings that will enhance your holiday "gifts-to-go" assortment. The vendor has 12,000 units of boxed jewelry at a cost of $4.25 per unit if the entire quantity is purchased. If not, the cost is $7.50 per unit. To properly assess this offering, you must consider the following factors that will be helpful in making the appropriate decision: 1. There are many different styles in the assortment and some have a "winter" theme that may not sell in the "hot" climate stores. 2. You already have purchased from other resources 15,000 units of boxed jewelry for the gifts-to-go setup at a cost of $5.00. 3. This classification (boxed jewelry) has enjoyed stronger sales this season than in previous years. The "healthy" position of this classification is such that this offering could contribute to an unexpected sales increase for the entire department. 4. An analysis of the selling reports and the "on order" of this category shows that the condition of the present inventory may be inadequate to cover the conservative, realistic anticipated sales for November and December. Because of the strong sales of this classification, the buyer would like to take advantage of this offering and use a strategy in pricing this group that will generate a markup above the required departmental 62.5% to afford a successful post-Christmas clear- ance sale. The buyer begins to make more basic calculations and considerations that will justify the final course of action to be taken. Plan 1. If the normal departmental 62.5% markup were applied in pricing this group, what would be the retail price per box at a cost of $4.25 each? Usually, the boxed jewelry that costs $5.00 carries a 75% markup. Using this as a guideline, what would be the retail price per pair of pins and earrings? Plan 2. What would be the markup realized if the entire group were purchased and integrated into the $15.00 price line