An Item Cost a Manufacturer $4 to Produce

question 36

Multiple Choice

An item cost a manufacturer $4 to produce.It has a wholesale trade discount of 66% and a retail trade discount of 50%.The list price of the item is $15.Assuming the retailer sold the item for $12,the dollar gross margins received by the manufacturer,wholesaler,and retailer are respectively:

• A) $5.90, $2.40, $4.50.
• B) $4.50, $1.10, $2.40.
• C) $1.10, $2.40, $4.50.
• D) $1.40, $2.50, $7.50.
• E) $2.64, $2.40, $6.96.

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Definitions:

Transference

A phenomenon in psychoanalysis where patients project feelings for others, often from childhood, onto their therapist.

Psychoanalytic

Pertaining to the theory and practice of psychoanalysis, which focuses on revealing and resolving unconscious motivations and conflicts.

Trivial

Of little value or importance; insignificant.

Defense Mechanisms

Psychological strategies brought into play by individuals to cope with reality and maintain self-image, often unconsciously to reduce anxiety or discomfort.