Cheng builds replica miniature cabinets. His costs for each cabinet are $26 each. A consultant tells Cheng
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Cheng builds replica miniature cabinets. His costs for each cabinet are $26 each. A consultant tells Cheng that the average margin in his industry is 48%. Cheng currently sells the cabinets for $42, but thinks he should consider using the industry average margin as his target goal.
If Cheng decides to sell to a retailer who earns a retail margin of 20%, what would be the final price to consumers if Cheng changes his price to the retailer to reflect his target margin?
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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