A watch store owner decided to offer a 20% discount for a particular brand of watchthat sells at PhP 35 000. By doing so, his average sales increased from 5 watches to 12 watches a day. If he bought one watch at a price of PhP 22 000 from the supplier, by how much was the daily profit increased or decreased by offering such discount on the watch?​

Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter5: Inventories And Cost Of Goods Sold
Section: Chapter Questions
Problem 5.5DC
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A watch store owner decided to offer a 20% discount for a particular brand of watchthat sells at PhP 35 000. By doing so, his average sales increased from 5 watches
to 12 watches a day. If he bought one watch at a price of PhP 22 000 from the
supplier, by how much was the daily profit increased or decreased by offering such
discount on the watch?​

Additional Activities
After learning how to compute the gross profit at least you have learned now
how to do it by your own. Solve and compute the following:
1. A watch store owner decided to offer 20% discount for a particular brand of
watch that sells at P35,000.00. By doing so, his average sales increased from
5 watches to 12 watches a day. If he bought one watch at a price of
P22,000.00 from the supplier, by how much was his daily profit increased or
decreased by offering such discount on the watch?
2. Michelle went to Baguio and bought 20 jars of strawberry jam for P3,500.00
with 1 5% discount. When she got back to Manila, she sold 10 of the jars for
a total of P1,800.00and the rest as P185.00 each. How much profit did Michelle
again?
Transcribed Image Text:Additional Activities After learning how to compute the gross profit at least you have learned now how to do it by your own. Solve and compute the following: 1. A watch store owner decided to offer 20% discount for a particular brand of watch that sells at P35,000.00. By doing so, his average sales increased from 5 watches to 12 watches a day. If he bought one watch at a price of P22,000.00 from the supplier, by how much was his daily profit increased or decreased by offering such discount on the watch? 2. Michelle went to Baguio and bought 20 jars of strawberry jam for P3,500.00 with 1 5% discount. When she got back to Manila, she sold 10 of the jars for a total of P1,800.00and the rest as P185.00 each. How much profit did Michelle again?
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