Question

AutoSave on 2 0 SCENARIO F-Channel of Distribution Margins - Compatibility Mode Giselle Acosta GA - o X Comments File Home Insert Draw Design View Help Search Share D E À Breaks Align Layout References Mailings Review Indent Spacing Left: 0. 02 t Before: Opt - Right: 0 After: Opl : Paragraph Margins Orientation Size Line Numbers - Hyphenation - Columns Position Wrap - Text state Bring Send Selection Forward - Backward - Pane Arrange Page Setup SCENARIO F: Channel of Distribution Margins You are a manufacturer who distributes your product through a channel of distribution that includes wholesalers, retailers and consumers. You offer your product to the retailer at a suggested Retail Price of $20.00 per unit and, at that price, the retailer earns a fifty percent margin per unit sold. Retailers actually buy your product from wholesalers. You pay wholesalers a ten percent sales commission (that is, margin) on each unit sold. Finally, you want to maintain a twenty-five percent profit margin on each unit sold. Given this, a. Given this, what is the Wholesaler's Price to the Retailer, that is, how much revenue does the wholesaler receive for each unit sold to the retailer? What is the Manufacturer's Price to the Wholesaler? What is the Manufacturer's Cost per unit? Page 1 of 1 136 words * Display Settings EE E E - + 100 H O Type here to search 12:05 AM 2/17/2020

Please answer A and B thank you!(:

Answer 1

Answer is given below with working

Retail price Retailer margin Wholesaler price to Retailer $20.00 $10.00 (50% of $20) $10.00 b) Wholesaler price to Retailer Wholesaler margin Manufacturer price to Wholesaler $10.00 $1.00 (10% of $10) $9.00 Manufacturer price to Wholesaler Profit margin of manufacturer Cost to Manufacturer $9.00 25% $7.20 ($9/125*100)