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There are five levels {P, Q , R, S, T ) in a linear supply chain before a product reaches customers, as shown in the figure.
At each of the five levels, the price of the product is increased by 25%. If the product is produced at level P at the cost of Rs. 120 per unit, what is the paid (in rupees) by the customers?
At each of the five levels, the price of the product is increased by 25%. If the product is produced at level P at the cost of Rs. 120 per unit, what is the paid (in rupees) by the customers?
- a)292.96
- b)187.50
- c)234.38
- d)366.21
Correct answer is option 'D'. Can you explain this answer?
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There are five levels {P, Q , R, S, T ) in a linear supply chain befor...
120 at each level increased 25% price paid by customer
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There are five levels {P, Q , R, S, T ) in a linear supply chain befor...
Given information:
- There are five levels in a linear supply chain before the product reaches customers: P, Q, R, S, T.
- At each level, the price of the product is increased by 25%.
- The product is produced at level P and costs Rs. 120 per unit.
To find:
The price paid by the customers for the product.
Approach:
To find the price paid by the customers, we need to calculate the price at each level of the supply chain and then sum them up.
Calculation:
Level P:
- The product is produced at level P and costs Rs. 120 per unit.
Level Q:
- The price at level Q is 25% higher than at level P.
- Price at level Q = Rs. 120 + (25/100) * Rs. 120 = Rs. 150
Level R:
- The price at level R is 25% higher than at level Q.
- Price at level R = Rs. 150 + (25/100) * Rs. 150 = Rs. 187.50
Level S:
- The price at level S is 25% higher than at level R.
- Price at level S = Rs. 187.50 + (25/100) * Rs. 187.50 = Rs. 234.38
Level T:
- The price at level T is 25% higher than at level S.
- Price at level T = Rs. 234.38 + (25/100) * Rs. 234.38 = Rs. 292.96
Price paid by customers:
The price paid by the customers is the price at the final level, which is level T.
Therefore, the price paid by the customers = Rs. 292.96.
Therefore, the correct answer is option 'D' - 366.21.
- There are five levels in a linear supply chain before the product reaches customers: P, Q, R, S, T.
- At each level, the price of the product is increased by 25%.
- The product is produced at level P and costs Rs. 120 per unit.
To find:
The price paid by the customers for the product.
Approach:
To find the price paid by the customers, we need to calculate the price at each level of the supply chain and then sum them up.
Calculation:
Level P:
- The product is produced at level P and costs Rs. 120 per unit.
Level Q:
- The price at level Q is 25% higher than at level P.
- Price at level Q = Rs. 120 + (25/100) * Rs. 120 = Rs. 150
Level R:
- The price at level R is 25% higher than at level Q.
- Price at level R = Rs. 150 + (25/100) * Rs. 150 = Rs. 187.50
Level S:
- The price at level S is 25% higher than at level R.
- Price at level S = Rs. 187.50 + (25/100) * Rs. 187.50 = Rs. 234.38
Level T:
- The price at level T is 25% higher than at level S.
- Price at level T = Rs. 234.38 + (25/100) * Rs. 234.38 = Rs. 292.96
Price paid by customers:
The price paid by the customers is the price at the final level, which is level T.
Therefore, the price paid by the customers = Rs. 292.96.
Therefore, the correct answer is option 'D' - 366.21.
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There are five levels {P, Q , R, S, T ) in a linear supply chain before a product reaches customers, as shown in the figure.At each of the five levels, the price of the product is increased by 25%. If the product is produced at level P at the cost of Rs. 120 per unit, what is the paid (in rupees) by the customers?a)292.96b)187.50c)234.38d)366.21Correct answer is option 'D'. Can you explain this answer?
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