Relative sales value method

Reference no: EM13153270

Hana Inc. buys 1,000 computer game Cds from a distributor who is discountinuing those games. The purchase price for the lot is $1,800. Hana will group the CDs into 3 price categories for the resale as indicated below.

Group 1: 100 CDs at $5
Group 2: 800 CDs at $10
Group 3: 100 CDs at $15

Determine the cost per CD assigned to each group using the relative sales value method.

Reference no: EM13153270

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