You are the manager of World Wide Athlete, a chain of six sporting goods shops in your area. The shops sell 12 racing bikes per week at a retail price of $679.99. Recently, you put the bikes on sale at $599.99. At the sale price, 15 bikes were sold during the one-week sale.
1. What was your markdown percent on the bikes?
2. What is the percent increase in number of bikes sold during the sale?
3. How much more revenue would be earned in six months by permanently selling the bikes at the lower price rather than having a one-week sale each month? (6 sale weeks in 26 weeks)
# 3 (15*599.99)*26- ((12*679.99)*20 +(15*599.99)*6))=
233,996.1- (163,197.6+53999.1)=
233,996.1-217,196.7=16,799.4
1. Oh boy, let me put on my thinking clown nose for this one! To calculate the markdown percent, we need to find the difference between the original and sale prices, and then divide it by the original price. So, the markdown percentage would be ((679.99 - 599.99) / 679.99) * 100. Time to dig out the ol' calculator for this math circus! After crunching the numbers, it looks like the markdown percent on the bikes is around 11.77%.
2. Ah, the exciting world of data analysis. To find the percent increase in the number of bikes sold during the sale, we'll need to determine the difference in the number of bikes sold before and during the sale and then divide it by the original number of bikes sold. So let's do some juggling! The percent increase would be ((15 - 12) / 12) * 100. After a few tosses and turns, it comes out to be a 25% increase in the number of bikes sold during the sale! Impressive, huh?
3. Ah, the financial showdown! To calculate the revenue earned in six months by permanently selling the bikes at the lower price, we'll need to compare the revenue from 6 weekly sales at the sale price to the revenue from 6 monthly one-week sales at the original price. Okay, get ready for some dollar-balancing acrobatics!
Revenue from 6 weekly sales = 15 bikes * $599.99 * 6 weeks
Revenue from 6 monthly one-week sales = 12 bikes * $679.99 * 6 months / 4
After doing some juggling and tumbling around with these numbers, we find that the revenue earned by permanently selling the bikes at the lower price for six months would be higher. Bravo, more revenue!
Remember, these calculations are just for fun and illustration purposes. Actual results may vary depending on various factors and humors of the market!
To calculate the answers to these questions, we need to follow these steps:
Step 1: Calculate the markdown percent on the bikes.
Step 2: Calculate the percent increase in the number of bikes sold during the sale.
Step 3: Calculate the revenue difference between permanently selling the bikes at the lower price versus having a one-week sale each month.
Let's start with step 1:
1. To calculate the markdown percent on the bikes, we need to find the difference between the original retail price and the sale price, and then divide it by the original retail price.
Original retail price = $679.99
Sale price = $599.99
Markdown = Original retail price - Sale price = $679.99 - $599.99 = $80
Markdown percent = (Markdown / Original retail price) * 100 = ($80 / $679.99) * 100 ≈ 11.77%
So the markdown percent on the bikes is approximately 11.77%.
Moving on to step 2:
2. To calculate the percent increase in the number of bikes sold during the sale, we need to find the difference in the number of bikes sold before and during the sale, and then divide it by the original number of bikes sold.
Number of bikes sold before the sale = 12
Number of bikes sold during the sale = 15
Increase in bikes sold = Number of bikes sold during the sale - Number of bikes sold before the sale = 15 - 12 = 3
Percent increase = (Increase in bikes sold / Number of bikes sold before the sale) * 100 = (3 / 12) * 100 = 25%
Therefore, the percent increase in the number of bikes sold during the sale is 25%.
Finally, let's move on to step 3:
3. To calculate the revenue difference between permanently selling the bikes at the lower price versus having a one-week sale each month, we need to calculate the total revenue for both scenarios.
Revenue from selling bikes at the lower price during the sale:
Number of bikes sold during the sale = 15
Sale price = $599.99
Revenue = Number of bikes sold during the sale * Sale price = 15 * $599.99 = $8,999.85
Revenue from one-week sale each month for 6 months:
Number of bikes sold per week = 12
Sale price per week = $599.99
Revenue per week = Number of bikes sold per week * Sale price per week = 12 * $599.99 = $7,199.88
Total revenue for 6 months = Revenue per week * Number of sale weeks in 6 months = $7,199.88 * 6 = $43,199.28
Difference in revenue = Revenue from selling bikes at the lower price during the sale - Total revenue for 6 months = $8,999.85 - $43,199.28 = -$34,199.43
Therefore, if you permanently sell the bikes at the lower price rather than having a one-week sale each month, you would earn approximately $34,199.43 less in revenue over the course of 6 months.
To determine the markdown percentage on the bikes, you need to calculate the difference between the original retail price and the sale price. Here's how to do it:
1. Calculate the markdown amount:
Original Price - Sale Price = $679.99 - $599.99 = $80
2. Calculate the markdown percentage:
Markdown amount / Original Price * 100 = $80 / $679.99 * 100 ≈ 11.77% (rounded to two decimal places)
Therefore, the markdown percentage on the bikes is approximately 11.77%.
To find the percent increase in the number of bikes sold during the sale, follow these steps:
1. Calculate the difference in the number of bikes sold:
Number of Bikes Sold at Sale Price - Number of Bikes Sold at Original Price = 15 - 12 = 3
2. Calculate the percent increase:
Difference in number of bikes sold / Number of bikes sold at Original Price * 100 = 3 / 12 * 100 = 25%
Therefore, the percent increase in the number of bikes sold during the sale is 25%.
To determine the additional revenue that would be earned in six months by permanently selling the bikes at the lower price rather than having a one-week sale each month, you need to compare the revenue generated from the sale price with the revenue generated from the original price. Here's how you can calculate it:
1. Calculate the revenue at the original price:
Number of Bikes Sold at Original Price * Original Price * Number of Sale Weeks = 12 * $679.99 * 6 = $49,199.28
2. Calculate the revenue at the sale price:
Number of Bikes Sold at Sale Price * Sale Price * Number of Sale Weeks = 15 * $599.99 * 6 = $53,998.20
3. Calculate the difference in revenue:
Revenue at the sale price - Revenue at the original price = $53,998.20 - $49,199.28 = $4,798.92
Therefore, by permanently selling the bikes at the lower price rather than having a one-week sale each month, the additional revenue earned in six months would be $4,798.92.
#1 (679.99-599.99)/679.99 = 0.1176 or about 12%
#2 (15-12)/12 = 25%
#3 extra revenue during that week was
15*599.99 - 12*679.99 = 839.97
So, ...