Question: hi , please help with question 1 . 3 Q . 1 . 3 Teddy Co . presents the following information relating to normal (
hi please help with question
Q Teddy Co presents the following information relating to normal budgeted
information:
Value
Weekly sales volume units
Selling price per unit
R
Marginal cost ratio
Teddy Co wishes to boost the sales of its product and predicts that by applying a promotional discount of on their selling price and incurring an additional fixed cost of R unit sales will be five times higher than normal sales. Variable costs remain unchanged.
Promotional data
Value
Selling price discount
Sales multiplier
Additional fixed cost
R
Promotional period weeks
Required:
Calculate the incremental profit loss that may arise from the promotion.
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