BBQT1013: Business Mathematics Assignment, CUM, Malaysia: Misuse and abuse of trade discounts infringe on fair trade laws and can cost companies stiff fines and legal fees
University | City University Malaysia (CUM) |
Subject | BBQT1013 Business Mathematics |
Assignment Brief and Guidance:
Misuse and abuse of trade discounts infringe on fair trade laws and can cost companies stiff fines and legal fees. One way to avoid misuse is to establish the same discount for everyone and give rebates based solely on volume.
Green Manufacturing, Inc., uses this policy for equipment sales to companies that develop photographs. For example, one developing machine component, a special hinge, sells for $3.10 and is discounted to $3 with the purchase of 15,000 pieces per month.
In an effort to run more cost-efficient large jobs and capture market share, Green Manufacturing will give an incentive for higher volume. It offers a 5% rebate on orders of 20,000 pieces per month, or a 20 cents a piece rebate for orders of at least 22,000 pieces per month. The increased volume needed for a rebate is determined by market research that tells Green Manufacturing factors such as the volume a customer is capable of ordering per month, and the volume and cost of the same part a customer currently buys from other suppliers.
Are You Searching Answer of this Question? Request Malaysian Writers to Write a plagiarism Free Copy for You.
The rebate amount is determined by Green Manufacturing’s profit margin and the company’s ability to acquire sufficient raw materials to produce larger volumes without raising production costs. In some industries, this is called a bill-back because the buyer receives credit toward the next order rather than a rebate check.
However, Green manufacturing, Inc. uses a machine to produce the hinge and since the discounts are implemented, the order increased dramatically. Green Manufacturing, Inc. is planning for a second machine to overcome scarce resources on production capacity. The machines cost $225,000 and can be used for 8 years. Meanwhile, the supplier also offers lease service on a 30% cost increment for lease price and repayable for 8 years with an interest rate
of 10%. Upon acquisition, the old machine can be trade-in for $5,000.
Tasks:
1. Explain the following and provide an appropriate example:
A. Trade
B. Discount and rebate
C. Single and multiple discounts
D. Cost and profit
E. Depreciation
F. Interest rate
G. Time value
H. Different investments
2. Calculate, and round to the nearest hundredth, the revenue, discount amount, and rate assuming if the purchase is:
A. 16,000 pieces
B. 20,500 pieces
C. 24,000 pieces
Get Solution of this Assessment. Hire Experts to solve this assignment for you Before Deadline.
Get Help By Expert
Many Malaysian university students are stressed with their BBQT1013 Business Mathematics assignment task. students want someone to do my assignment. assignmenthelper.my has 1652+ best assignment helper in malyasia for helping malaysian students.
Recent Solved Questions
- Marketing Management Dissertation, TU, Malaysia RedMart, HappyFresh, and Honestbee are a few names you probably have already heard of if you like having fresh
- PGBM01: Relying only on accounting figures from Income Statement and Balance: Financial Management and Control Assignment, UOS, Malaysia
- Project Management Thesis, AeU, Malaysia Identification of the key aspects of the business literature to underpin the study
- BBPW3103: The agency relationship occurs when one or more individuals (principal) hire another individual: Financial Management 1 Assignment, OUM, Malaysia
- LGP7024: “Article 121(1A) “does not oust the jurisdiction of the civil courts nor does it confer judicial power on the Syariah Courts”: Malaysian Legal System Assignment, VUS, Malaysia
- MPU3313: Health and Wellness 2 Assignment, OUM, Malaysia Based on the definition of “health” by WHO, use the relevant resources to explain the status of each of the following characteristics
- ECW1101: Introductory Microeconomics Assignment, MUM, Malaysia A price ceiling that is below the perfectly competitive equilibrium price creates a deadweight loss because it leads
- This assignment entails analyzing a dataset focused on the green purchase intentions of college students in a major educational institution in North India (data taken from Kumar, Rakesh (2022): Business Analytics, Assignment, TU, Malaysia
- Introduction to Networking Assignment, UiTM, Malaysia SudaJayaTech is a premier enterprise software company offering multiple products at scale both in the enterprise arena
- FIT1047: User input (4 points) The next step is to implement a subroutine that reads a string, character by character: Introduction to computer systems, networks and security Assignment, MU, Malaysia