Question: The vegetable buyer for a group of grocery stores has decided to sell packages of sprouted grain in the vegetable section of the stores. The

The vegetable buyer for a group of grocery stores has decided to sell packages of sprouted grain in the vegetable section of the stores. The product is perishable and any remaining unsold after one week in the store is discarded. The supplier will deliver the packages to the stores, arrange them in the display space, and remove and dispose of any old packages. The price the supplierwill charge the stores depends on the size of the total weekly order for all the stores. 

Weekly Order                                                Price per Package

Less than 1000 packages..........................................................35

1000-1499...................................................................................28

1500-1999...................................................................................25

2000 or more..............................................................................20

The vegetable buyer estimates the quantity that can be soldper week, at various selling prices,as follows: 

Selling Price                                       Packages Sold per Week

60 fC..........................................................................................300

45...............................................................................................600

40.............................................................................................1200

33.............................................................................................1700

26.............................................................................................2300

The sprouted grain will be sold at the same price in all the grocery stores. How many packages should be purchased per week, and at which of the five prices listed above should they be sold?

Step by Step Solution

3.49 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Quantity Sold per week Selling Price Income Cost Profit 30... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

7-B-E-M (32).docx

120 KBs Word File

Students Have Also Explored These Related Economics Questions!