Max's Movie Store encounters revenue-allocation decisions with its bundled product sales. Here, two or more of the movie videos are sold as a single package. Managers at Max's are keenly interested in individual product-profitability figures. Information pertaining to its three bundled products and the stand-alone selling prices of its individual products is as follows:
| | Stand-Alone Selling Price, | Cost | | Package | Packaged Price |
| New Releases | $15 | $2.00 | | New & Older | $20 |
| Older Releases | $10 | $1.50 | | New & Classics | $17 |
| Classics | $8 | $1.25 | | All three | $25 |
Required:
| a. | With selling prices as the weights, allocate the $25 packaged price of "All Three" to the three |
videos using the stand-alone revenue-allocation method.
| b. | Allocate the $25 packaged price of "All Three" to the three types of videos using the incremental |
revenue-allocation method. Assume New Releases is the primary product, followed by Older Releases, and then Classics.
The direct product of phosphate hydrolysis from PEP is the enol form of pyruvate
Importance of Considering Gestalt Principles in Product Design (2 of 2)
Importance of Considering Gestalt Principles in Product Design
Find derivative using product rule
Find derivative using product rule