Problem:
If I want to target a 50% sell through and a 40% GM with a retail sales target of $30,000, how much cost inventory do I need to buy into?
Cost from Retail
Cost = Retail x (1- GM%)
Gross Margin % (GM%)
GM % = (retail sales $ - cost sales $)/ retail sales $
Big brothers, inc. borrows $174,760 from the bank at 3.10 percent per year, compounded annually, to purchase new machinery. This loan is to be repaid in equal annual installments at the end of each year over the next 3 years. How much will each annual payment be?
Note: Please provide step by step solution.