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What transaction price per gallon should Chlorine use

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Reference no: EM132889943

Problem - Chlorine Corp. has a contract to deliver pool products to the community aquatic center. The contract with the aquatic center states that the first 1,000 gallons of chemicals will cost $36 per gallon. However, the cost will drop to $30 per gallon for all purchases over 1,000 gallons. Based on its experience, Chlorine Corp. estimates that the aquatic center will use 1,400 gallons of chemicals. What transaction price per gallon should Chlorine use for this contract?

Reference no: EM132889943

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