a) After determining the total product cost of P100.00 per unit, Mr. Rick the owner, decided to set mark-up of 15% on cost of his product. Determine the final retail price per unit of product.

Holt Mcdougal Larson Pre-algebra: Student Edition 2012
1st Edition
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Chapter7: Percents
Section7.6: Percent Applications
Problem 2E
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a) After determining the total product cost of P100.00 per unit, Mr. Rick
the owner, decided to set mark-up of 15% on cost of his product.
Determine the final retail price per unit of product.
b) What is the pricing strategy used by Mr. Rick? Briefly explain this
pricing strategy.
c) How many units must be sold for Mr. Rick to Break-even if Fixed Cost
is Php 100,000, Unit Selling Price is Php10.00 and Unit Variable cost is
Php 5.00.
Transcribed Image Text:a) After determining the total product cost of P100.00 per unit, Mr. Rick the owner, decided to set mark-up of 15% on cost of his product. Determine the final retail price per unit of product. b) What is the pricing strategy used by Mr. Rick? Briefly explain this pricing strategy. c) How many units must be sold for Mr. Rick to Break-even if Fixed Cost is Php 100,000, Unit Selling Price is Php10.00 and Unit Variable cost is Php 5.00.
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