Question: Bell, Inc. buys 1,000 computer game CDs from a distributor who is discontinuing those games. The purchase price for the lot is $8,000. Bell will
Bell, Inc. buys 1,000 computer game CDs from a distributor who is discontinuing those games. The purchase price for the lot is $8,000. Bell will group the CDs into three price categories for resale, as indicated below.
| Group | No. of CDs | Price per CD | |||
| 1 | 100 | $5 | |||
| 2 | 800 | 10 | |||
| 3 | 100 | 15 | |||
Determine the cost per CD for each group, using the relative sales value method. (Do not round ratios for computational purposes. Round final answers to 2 decimal places, e.g. 5.85.)
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