yoplait has a new line of greek yogurt in a 9oz. size. the marketing managers pl

Question

yoplait has a new line of greek yogurt in a 9oz. size. the marketing managers plan to test market the product in one small market for three weeks. they have calculated the cost and projected sales for each of the different flavors: plain cost is .55 each with a projected sales of 10,000 units, strawberry cost per unit is .60 with a projected sales of 13,000 units, blueberry costs are .68 per unit with a projected sales of 9,000 units. each yogurt product will retail at the same price. using the average cost pricing and a 35% markup what will yoplait price these product at the retail level?

Explanation / Answer

Yoplait Details Flavor Sales Unit % weight of sales unit Cost per unit Weighted cost per unit Plain         10,000 31.25%                  0.55                0.17 Strawberry         13,000 40.63%                  0.60                0.24 Blueberry              9,000 28.13%                  0.68                0.19 Total         32,000                0.61 So the sales volume weighed Average cost is $0.61   per unit. Mark up is 35% So Yoplait price per unit at reatil level =0.61*1.35=              0.82 per unit

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