a premium fertilizer called Nice Lawn is being sold straight from makers to customers. other fertilizers require a base of another chemical, lets call it Chemical C. Nice Lawn does not need that.

The makers variable costs for producing Nice Lawn are 14 dollars for a 50LB bag.

A 50LB bag of Nice lawn will spread over about 1000 ft. of a lawn. The fertilizer that requires chemical C as a base layer cost about three cents to cover 1 square foot of a lawn. The amount of chemical see needed to cover one square foot cost six thousandths of a dollar. Studies show the value of a persons time that is needed to spread 1000 ft. of fertilizer is about 10 dollars

1) use this info to figure out the value of a 50LB bag of Nice Lawn to a consumer. show work

2) name and detail 3 basic product pricing strategies and say when theyd be used. then say which should be used by the makers of Nice Lawn.

3) using answers from 1 and 2 what would you reccomend the price of a 50LB bag of Nice Lawn. what would be the makers contribution margin at that price.

$.006