busi 3100

Casestudy3100-2.xlsx

Sheet1

1. Using selling prices and production costs, calculates per-unit gross margin (profit) dollars and percent of selling price.
	Mini	Standard	Pro
Selling Price	499	699	899
Cost	375	390	435
Gross margin	124	309	464
Gross margin %	24.85%	44.21%	51.61%
2. Uses selling prices and units sold to calculate total revenue from each model and the total for all three models
	Mini	Standard	Pro
Selling Price	499	699	899
Units Sold	60,000	30,000	15,000
Total Revenue (each model)	29940000	20970000	13485000
Total Revenue (all 3 models)	64395000
3. Calculates total production costs from each model and the total for all three models
	Mini	Standard	Pro
Cost	375	390	435
Units Sold	60,000	30,000	15,000
Total Cost (for each model)	22500000	11700000	6525000
Total Cost (for all models)	40725000
4. Calculates gross profit of each model and the total for all three models
	Mini	Standard	Pro
Total Revenue	29940000	20970000	13485000
Total Cost	22500000	11700000	6525000
Gross Profit	7440000	9270000	6960000
Total Gross Profit	23670000
5. Calculates net profit of each model and the total for all three models by deducting advertising expenses
	Mini	Standard	Pro
Gross Profit	7440000	9270000	6960000
Advertising Expenses	300000	500000	400000
Net Profit	7140000	8770000	6560000
Total net Profit	22470000
6. Displays the net profit of the three models in a chart which conveys the relative profit contribution of each model.

Net Profit

[VALUE] [PERCENTAGE] [VALUE] [PERCENTAGE] [VALUE] [PERCENTAGE] Mini Standard Pro 7140000 8770000 6560000