Beaumont Company Enters into a Contract to Provide a High

question 234

Essay

Beaumont Company enters into a contract to provide a high quality diving-certification preparation package, including goggles, snorkels, air tanks, fins, a wetsuit, and 5 private lessons to get ready for diving certifications. The entire package sells for $2,500.
-Other competing sellers in the same region charge an average of $250 for a set of goggles and $750 for the lessons, if sold separately. Beaumont Company usually sells at a 5% discount compared to other shops, since it is a bit farther away from the ocean.
Required:
What would be Beaumont's stand-alone selling price of the goggles and the lessons, based on adjusted market assessment approach?

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Definitions:

McDonald's

A global fast-food chain that is recognized for its burgers, fries, and franchising model, operating in numerous countries around the world.

Customer Inquiries

Questions or requests for information from customers about a company's products or services.

Human Capital

The skills, knowledge, and experience possessed by an individual or population, viewed in terms of their value to an organization.

Return on Investment

A financial metric that measures the profitability of an investment by dividing the gain from the investment by its cost.