Consider the Redwing Automotive total cost information summarized in the followi

Question

Consider the Redwing Automotive total cost information summarized in the following table Click the icon to view the cost table PLS would need to reduce its per-unit price by Sin order to match the SBC landed cost. (Enter your response rounded to two decimal places.) This translates into a 1 % price decrease. (Enter your response as a positive number rounded to one decimal place.) More Info SBC quote Unit price Packing Freight Per unit $25.96 0.71 0.91 Landed cost PLS quote Unit price Packing Inland transportation Freight forwarder's fee Ocean transportation Marine insurance U.S. port handling Customs duty Customs broker's fee U.S. transportation Warehousing Administrative time Paperworlk $27.58 $21.42 0.07 0.08 1.36 0.15 0.35 0.92 0.00 1.87 0.72 0.09 0.00 Landed cost $28.24

Explanation / Answer

Landed cost of SBC quote = 27.58 $

Landed quote of PLS quote = 28.24 $

PLS would need to reduce by = 28.24 – 27.58 = .66 $

Percentage decrease = (28.24 – 27.58)28.24 = 2.3%

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