# Marketing Essentials

## Unit 5: Selling

### Math Workout

1
The computer package that your company sells includes a one-year service warranty. Typically, only every third customer needs to send his or her computer in to be serviced. The cost of servicing the computers averages about \$45 in parts and labor per servicing. If the retail price of the computer is \$370.99, about what percentage of that cost goes to paying for the warranty?
A)36%
B)12%
C)4%
D)6%
2
In order to help you decide which car to buy, the sales associate gives you some information on the two models that you are most interested in. Among other things, she tells you that the sedan gets about 28 miles to the gallon of gas and has a 12 gallon tank, while the station wagon gets about 22 miles to the gallon and has a 15 gallon tank. You live very far from the gas station and therefore are considering buying the car that you have to fill up the least. Which car will it be?
A)The sedan
B)The station wagon
C)There is no difference
D)Not enough information
3
You are working for a new cellular phone company. You have a list of the names and phone numbers of 340 people that are cellular phone users. You call the people on the list and forty-five percent of them are willing to change cellular phone companies. If your company will make \$35 a month per customer, how much profit will be made in a year?
A)\$5,355
B)\$78,540
C)\$142,800
D)\$64,260
4
As a representative for business-to-business sales at a health insurance company, you are meeting with clients to discuss employee health benefit options. Businesses can chose from either the full coverage option, which costs the business \$225 per individual and \$580 per family, or the catastrophe insurance option, which costs \$110 per individual and \$450 per family. If a business employs 23 people with families and 15 single people, how much can the business expect to pay for each coverage option?
A)\$16,715 for full coverage and \$12,000 for catastrophe insurance
B)\$13,875 for full coverage and \$12,000 for catastrophe insurance
C)\$8,550 for full coverage and \$4,180 for catastrophe insurance
D)\$13,875 for full coverage and \$9,280 for catastrophe insurance
5
A sales associate at The Garden Shop is trying to determine a customer’s need for the tulips he is admiring. He says that he would like to plant one bulb every square foot in his gardens. He will be planting in two different flowerbeds: one is 23’ by 20’ and the other is 14’ by 17’. If there are a dozen tulip bulbs in each package, how many packages of bulbs will he need?
A)58 packages
B)19 packages
C)30 packages
D)59 packages
6
A customer has made an objection to the price of CD player that you are trying to sell her. Your boss has authorized you to offer her a discount of one third off the original price. If the CD player will cost her \$80 with the discount, what was the original price?
A)\$120
B)\$134
C)\$107
D)\$53
7
You are interested in buying a bed but you cannot afford to pay the full cost of \$1,367 today. The salesperson suggests that you put the bed on layaway. You tell him that you can pay \$500 today and can come in and pay \$150 a week until the bed is paid off. How long will it take you to pay for the bed, and how much will you need to pay during the final week?
A)5 weeks, \$100 in the final week
B)6 weeks, \$117 in the final week
C)10 weeks, \$17 in the final week
D)5 weeks, \$117 in the final week
8
The electronics store down the street is having a special on digital cameras. The cameras usually cost \$349, but the store is offering an immediate \$30 discount and a \$50 mail-in rebate. If there is 5.5% sales tax on the camera, how much will you end up paying for the camera?
A)\$282.45
B)\$336.55
C)\$206.52
D)\$286.55
9
Today you are working at the check out counter at the retail store where you work. A customer is buying the following items: 6 pairs of socks that are \$9.99 for 3 pairs, 4 T-shirts for \$11.95 each, and 1 pair of pants that are \$54.99 for 2 pairs. If there is 6% sales tax, what will the total be for these items?
A)\$101.00
B)\$152.45
C)\$143.36
D)\$188.43
10
You just received the merchandise that your company ordered last month. However, you notice a mistake on the invoice, and it shows a different total than you remember discussing on the phone with the sales representative. What should the total be?
 Item Description Quantity Unit Cost Total Ream of paper 14 8.45 118.30 Box of pens 9 4.99 49.90 Box of staples 6 2.95 17.70 Sub-total 185.90 Tax (7.4%) 13.76 Total \$199.66
A)\$176.15
B)\$194.30
C)\$191.13
D)\$234.24