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A mailing of 100000 pieces with a total promotion cost of

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A mailing of 100,000 pieces with a total promotion cost of $50,000 generated $180,000 net sales.  The average order size was $60 and each order contributed $25 to promotion costs after paying for the cost of goods, fulfillment, and an overhead allocation.  Calculate the following:

Calculate the following:

Calculate

Answer

Total Orders

 

 

Total Contribution

 

 

Total Profit

 

 

Profit as a Percentage of net sales

 

 

Response Percentage

 

 

Orders/Thousand

 

 

Promotion Cost/Thousand

 

 

Contribution/Thousand

 

 

Profit/Thousand

 

 

Reference no: EM13476887

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