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question problem 13 9 sycamore candy company offers an mp3 download seven single med 4277334

Question

Problem 13-9

Sycamore Candy Company offers an MP3 download (seven-single medley) as a premium for every 6 candy bar wrappers presented by customers together with $3.35. The candy bars are sold by the company to distributors for 30 cents each. The purchase price of each download code to the company is $3.10. In addition, it costs 50 cents to distribute each code. The results of the premium plan for the years 2014 and 2015 are as follows. (All purchases and sales are for cash.)

 

 

2014

 

2015

MP3 codes purchased

 

257,500

 

339,900

Candy bars sold

 

2,922,200

 

2,791,700

Wrappers redeemed

 

1,236,000

 

1,545,000

2014 wrappers expected to be redeemed in 2015

 

298,700

 

 

2015 wrappers expected to be redeemed in 2016

 

 

 

360,500

 

 

 

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