Historical Records on a Certain Product Indicate the Following Behavior

question 68

Essay

Historical records on a certain product indicate the following behavior for demand. The data represent the number days that the business was open during 2019 (note that it is possible to have more than 365 days as there are multiple store locations). Convert these data into random number intervals.
$$\begin{array} { | r | r | } \hline \text { Demand } & \text { Frequency } \\\hline 43 & 51 \\\hline 44 & 82 \\\hline 45 & 111 \\\hline 46 & 99 \\\hline 47 & 74 \\\hline\end{array}$$

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Definitions:

Mark-Up Percentage

The percentage added to the cost price of goods to cover overhead and profit, determining the selling price.

Material Charge

A fee or cost applied for the materials used in the manufacturing or production of goods.

Material Cost

The cost of raw materials and components used to create a product.

Price Skimming

A pricing strategy where a company charges the highest initial price that customers will pay and then lowers it over time.