MARKETNG 301 Study Guide - Final Guide: Price Fixing, Toothpaste, Ipad
Document Summary
Elasticity = [(new demand old demand) / (old demand)] / [(new price old price) / (old price)] Unit cost = variable cost + (fixed cost / units sold) Break even units = fixed cost / (unit contribution) = fixed cost / (price variable cost) Margin = markup amount = price unit cost. Markup percentage (on price) = 100 x (margin / (margin + unit cost)) = 100 x ((price unit cost) / price) Markup percentage (on cost) = 100 x (margin / (unit cost) = 100 x ((price unit cost) / unit cost) Product: good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers" needs and is received in exchange for $ or valuable. Good: 1) tangible attributes that a consumer"s five senses can perceive. Intangible attributes consisting of its delivery or warranties and embody more abstract concepts such as becoming healthier or wealthier.
