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    Question

    If the store decides to clear out excess Furniture

    inventory by offering a discount of 20% on the selling price, calculate the new selling price for Furniture and the total revenue if all units sold in the last month are sold at this price. What is the total profit from Furniture after the discount? Direction: A retail store sells three types of products: Electronics, Clothing, and Furniture. The following table summarizes the sales data for each product over a six-month period, including the number of units sold, the cost price (CP), and the selling price (SP).
    A New SP тВ╣2,400, Profit тВ╣200,000 Correct Answer Incorrect Answer
    B New SP тВ╣2,400, Profit тВ╣300,000 Correct Answer Incorrect Answer
    C New SP тВ╣2,800, Profit тВ╣150,000 Correct Answer Incorrect Answer
    D New SP тВ╣2,400, Profit тВ╣296,000 Correct Answer Incorrect Answer
    E New SP тВ╣2,600, Profit тВ╣350,000 Correct Answer Incorrect Answer

    Solution

    New Selling Price for Furniture = 3,000 - (20% of 3,000) = 3,000 - 600 = тВ╣2,400 Total Revenue from Furniture if all units are sold = 740 ├Ч 2,400 = тВ╣1776,000 Total Cost Price for Furniture = 740 ├Ч 2,000 = тВ╣1480,000 Profit after discount = Total Revenue - Total Cost Price = 1776,000 - 1480,000 = тВ╣296,000

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