ABC sells its new beer for a Khol’s supermarket in Australia
Details:
ABC’s price to Khol’s: $ 40 ex GST for 1 Carton
ABC COGS (including logistics): $33
Khol’s Sales Split: 50/50- Carton/Multi
Khol’s RRP and Margin requirement:
Carton: $48 (incl GST): 17% Gross Margin Requirement
Multi: $18 (incl GST): 39% Gross Margin Requirement
ABC also Contribute $30,000 of trade spend(co-op) directly to kohl's
Beer Configuration- 24 bottles (4*6 Packs) @ 330ml bottles
Multi-6 bottles
Carton -24 bottles
Questions:
1. What case/multi scan deals must be provided to Khol’s to achieve their required margin?
2. How many cases must ABC sell in order to achieve $100,000 gross profit?
3. What is ABC’s gross profit/Hectolitre at the volume from question 2?
Dear Sir/Madam
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Thanx & Regards.
Muhammad Ilyas Saeed.
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Regards;
Younus
Hi,
I am a Chartered Accountant from India, I can help you with your problem.
Pl add me to the chat to discuss more.
Also you need to inform me GST rate to enable me to solve your problem.
Regards
CA Anshul Garg
India