Question: The brand manager for Wolverine Snacks, Inc. is finalizing plans to launch a new line extension of the company's popular peanut butter bites. The product

The brand manager for Wolverine Snacks, Inc. is finalizing plans to launch a new line extension of the company's popular peanut butter bites. The product will be sold through wholesalers who will sell to retailers for onward sale to consumers. Her team has settled on a retail price of $100 per case for the product. Retailers earn a margin of 55%, wholesalers earn a margin of 30%, and Wolverine Snacks' policy requires products to earn a margin of 60% percent.

a) What will be the cost per case to retailers?

b) What will be the cost per case to wholesalers?

c) What will be the wholesalers' dollar margin per case?

d) If 100,000 cases of the product are sold, what will be Wolverine Snacks':
i) total sales revenue?
ii) total contribution?

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