Pls john can you tell me how the current annual purchasing of 900000 i.e how 18000 was gotten, and the rational why new annual purchasing of (900000+ 400000) x 0.95 = 1235000,was calculated this way.
I am sorry but I do not have a Kaplan revision kit, and so I cannot answer this question.
average sales per sales before open on sunday $10,000/day *(6days*50week), so u get £3M
Cos of sales 30%, so £3M*0.3,then u get £900,000.
total cost of sales, before open sunday+ after open sundat=900,000+400,000.
1300,000*0.95( because cost of sales exceeds 1m, get the discount)= 1235k
1235k-900k, because want to know the incremental cost.
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