question archive Short Questions: 1) Define the following price strategies that retailers use: EDLP/EDVP, High/Low, Good/Better/Best
Short Questions: 1) Define the following price strategies that retailers use: EDLP/EDVP, High/Low, Good/Better/Best
Subject:BusinessPrice: Bought3
Short Questions:
1) Define the following price strategies that retailers use: EDLP/EDVP, High/Low, Good/Better/Best.
2. If a buyer’s markup plan is 68.0% for March and the cumulative markup for all orders placed is 64.2%, what actions can the buyer take to meet their markup plan for the month?
Quantitative Problems
Solving for the Retail Price: Page 65
4) The girl’s buyer purchases leggings at a cost price of $4.80 and the markup is $7.20. What is the retail price for the leggings?
5) If the electronics buyer purchases televisions at a cost price of $375.00 and the markup is $224.99, what is the retail price for the televisions?
Solving for the cost price: Page 66
8) A pair of denim jeans retails for $199.00, and the markup is $107.50. What is the cost price?
9) A man’s belt retails for $59.00, and the markup is $37.00. What is the cost price?
Solving for the Markup dollars and Markup Percentage: Page 67
12) What is the markup percentage on a jacket that costs $49.75 and retails for $125?
13) If a necklace retails for $36.00 and the cost is $10.80, what is the markup in dollars and percentage at retail for the necklace?
14) If a private label missy T-shirt retails for $19.00 and the cost is $7.20, what is the markup for the T-shirt in both dollars and percentage at retail?
15) If a pair of brand name leather boots has a retail price of $149.00 and the cost is $70.00, what is the markup for the boots in both dollars and percentage at retail?
Markup Practice Problems: Page 79-80
16)
|
|
Cost $ |
Retail $ |
Markup $ |
Markup % |
|
a. |
$150.00 |
$349.99 |
|
|
|
b. |
$30.00/ dzn |
|
$4.00 |
|
|
c. |
|
$36.00 |
$21.00 |
|
|
d. |
|
$100.00 |
|
64.0% |
|
e. |
$18.20 |
|
|
72.0% |
|
f. |
|
$240.00 |
|
53.6% |
|
g. |
$90.00 |
|
|
55.0% |
20) A buyer for an off-price retailer wants to sell one- piece swimsuits at retail of $39.99. The planned markup is 60.0%. What is the cost price the buyer should negotiate for?
21) You are the jewelry buyer for a large mass market chain. For the Holiday season you are planning a boxed jewelry “Gifts to Go” promotion for $14.99. The markup for the promotion is planned at 39.0%. What is the maximum cost price that you will pay for the boxed jewelry?
22) A toy buyer planned a special sale of dolls to retail at $25 each. If the overall markup on the purchase was 46%, what was the cost per doll?
23) Given the following departmental markups and average retails per department, what is the maximum cost that the buyer can pay?
a. Sneakers 58.4% markup; Retail price $69.00.
b. Men’s ties, 61.7% markup, Retail price $39.00.
Calculate the retail price given the cost and the planned MU%: Page 81-82
25) An eye shadow compact costs $20. 40, and the markup is 40.0%. What is the retail price of the compact?
27) A buyer will purchase handbags at a cost of $37.75, and the planned MU% for the department is 62.0%. What is the minimum retail price for each handbag? What possible retail price for each handbag might be used if you were the buyer of a department store? An off-price retailer?
28) If the cost of a swimsuit is $26.50 and the MU% is 61.5%, what is the retail price for which you can sell the swimsuit? What pricing strategy should the store use if you are a fast fashion retailer?
29) If a graphic T-shirt costs $6.95 and the MU% is 53.4%, what is the retail price for the T-shirt? What would the pricing strategy be?
Cumulative/Total Markup Problems for a Purchase Practice Problems: Page 83-86
31) A buyer purchased 50 assorted leather briefcases that cost $79.50 each and establishes retail prices based on the style as follows:
· 25 zip-top briefcases to retail for $175 each.
· 10 messengers to retail for $150 each.
· 15 backpacks to retail for $125 each.
34) The shoe buyer is buying different styles of thong sandals that will retail for $49.00. The styles the buyer is going to purchase are 1,200 units of metallic-colored sandals that have a cost price of $21.50 each and 3,000 units of printed thong sandals that have a cost price of $18.00 each. What is the markup percentage for this buy?
35) The plant buyer is buying the following twill pants:
Vendor A: 6,000 pants at $24.75 cost to retail at $54.00
Vendor B: 7,200 pants at $21.00 cost to retail at $49.00
a. Calculate the IMU$ and IMU% for Vendor A.
b. Calculate the IMU$ and IMU% for Vendor B.
c. Calculate the CMU% for the total buy.
36) The infant’s buyer is buying one-piece sleepers from different vendors to retail at $12.00. The buy is as follows:
Vendor A: 600 sleepers at a cost of $4.20
Vendor B: 480 sleepers at a cost of $5.30
a. Calculate the IMU$ and IMU% for Vendor A.
b. Calculate the IMU$ and IMU% for Vendor B.
c. Calculate the CMU% for the total buy.
38) The activewear buyer is buying a new fashion group for a discount retail chain. The buy is as follows:
1,500 hoodies at $22.50 cost to retail at $59.99
1,800 pants at $17.75 cost to retail at $49.99
2,700 striped T-shirts at $10.25 cost to retail at $24.99
1,200 tank tops at $5.75 cost to retail at $14.99
a. Calculate the CMU% for this order.
b. If the buyer’s markup plan for the month is 65.6%, what will the buyer need to do?
Cumulative/Total Markup Application Problems: Page 87-88
39) The jewelry buyer wants to spend $15,000 at retail. The department maintains a 56.7% markup. The buyer needs a minimum of 600 pairs of earrings to cover each branch with an adequate assortment.
a. What should be the retail price per pair?
c. What should be the cost per pair?
40) The home buyer has a budget of $60,000 for February receipts. The minimum amount of sheet sets in each store is 1,200. The departmental CMU% is 58.0%.
a. What is the retail price per sheet set?
b. What is the cost price that the buyer needs to pay for the sheet sets?
41) For a Fall pump promotion, the buyer wants to spend $419,940 at retail. The buyer needs to buy 6,000 pairs of shoes. If the planned MU% is 55.8%, find:
a. The retail price per pair of shoes.
b. The cost price per pair of shoes the buyer will need to pay.
43) For a monthly T-shirt buy, you will be spending $22,560 at retail. Orders for $7,980 at cost have been placed. The planned MU% is 71.5%. What is left in retail dollars for you to place?
