Sales cost of sales industry averages
new course books $ 1,086,800 $ 742,567 25.4
used course books 468,200 318,222 32.6
custom published books 212,222 159,293 25.6
textbook rental sales 102,323 90,323 22.1
course technology 90,600 80,432 11.2
trade books 68,400 40,356 24.3
professional reference books 22,330 15,200 31.0
total book sales $2,050,875 $1,446,393 26.5
total non-book sales $823,578 $612,233 29.7
total net sales $2,874,453 $2,058,626 28.3

(a) calculate the gross margin percentage for each of state university’s product lines.
(b) compare state university’s gross margins to industry averages. indicate any margins that appear out of line, in relation to the industry

Which of the following is not a personality trait? sincerity word processing punctuality laziness

Aprice ceiling is “binding” if the price ceiling is set below the equilibrium price. suppose that the equilibrium price is $5. if a price ceiling is set at $6, this will not affect the market in any way since $5 remains a legally allowable price (since $5 < $6). a price ceiling of $6 is called a “non-binding” price ceiling. on the other hand, if the price ceiling is set at $4, the price ceiling is “binding” because the natural equilibrium price is $5 but that is no longer allowed. what happens when there is a binding price ceiling? at a price below the equilibrium price, quantity demanded exceeds quantity supplied. there is a shortage. normally, price increases eliminate shortages by increasing quantity supplied and decreasing quantity demanded. in this case, however, price increases are not allowed past the price ceiling. we therefore predict that the observed market price will be right at the price ceiling and there will be a permanent shortage. the observed quantity bought and sold will be dictated by the quantity supplied at the price ceiling. although consumers would like to buy more, there are no more units for sale

Henry crouch's law office has traditionally ordered ink refills 55 units at a time. the firm estimates that carrying cost is 35% of the $11 unit cost and that annual demand is about 240 units per year. the assumptions of the basic eoq model are thought to apply. for what value of ordering cost would its action be optimal? a) for what value of ordering cost would its action be optimal?