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How does the buying at wholesale prices and selling at retail prices help you make profit?
Wiki User
∙ 14y ago
An example would be if you bought a sofa at a wholesale distributor for $300.00, then sold it at a mark-up of 2.100 percent, you would subtract out the cost of transportation,i.e. $25.00, and your profit is $305.00. You would have to subtract any overhead you might have also, if you own or rent a storefront.
Wiki User
∙ 14y ago
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How does the buying at wholesale prices and selling retail prices help you make a profit?
Well its really simple profit is equal to selling price- cost of good sold. therefore increasing profit comes from several actions, the cheaper you buy(wholesale) the more profit. The more expensive you sell (retail) the higher the profit. The next factor is volume, the more you sell the more profit you will receive thus all retail business tries to make the largest difference in price between wholesale and retail price while maintaining high sales volumes since you are probably a kid heres and example buying 20 ipods for 100 each (wholesale) and selling them for 200 each retail creates 100 profit per each ipod.
What is the difference in buying spa products at wholesale and retail price?
There is a large difference between wholesale and retail prices for any product. Wholesale price are much lower so the retailer is able to markup the price and make a profit off the sale of the item.
What is the buying of land with the intention of selling at a profit when the market rises?
speculation
What is the difference between a dealer and a subdealer?
A distributer will sell wholesale goods to a retailer/dealer. The dealer/retailer will sell the same good at a profit to the consumer.
What are the three reasons that forces an organization to introduce new product or service design?
if some of there products arnt selling if new things are selling fast so they can make something simular to make more money or if they are close to being bankrupt and they need to think of new things to make for more money
How does the buying at wholesale prices and selling retail prices help you make a profit?
Well its really simple profit is equal to selling price- cost of good sold. therefore increasing profit comes from several actions, the cheaper you buy(wholesale) the more profit. The more expensive you sell (retail) the higher the profit. The next factor is volume, the more you sell the more profit you will receive thus all retail business tries to make the largest difference in price between wholesale and retail price while maintaining high sales volumes since you are probably a kid heres and example buying 20 ipods for 100 each (wholesale) and selling them for 200 each retail creates 100 profit per each ipod.
How do you figure wholesale pricing to vendors?
Wholesale pricing takes into account the saving of selling bundling goods. Also, you have to figure out how much the vendors will sell the product, and whether they will be able to make a profit after buying at the wholesale price.
What is foreign exchange trading?
Buying and selling foreign currencies. Speculators take advantage of fluctuations in FX prices to make a profit.
What is the difference in buying spa products at wholesale and retail price?
There is a large difference between wholesale and retail prices for any product. Wholesale price are much lower so the retailer is able to markup the price and make a profit off the sale of the item.
What do mean by buying and selling of securities?
Buying and selling securities refers to the stock market usually. It is the buying and selling of stocks and mutual funds to make a profit.
What does profit mean in math terms?
profit = selling price - (cost of buying + overheads)
Slave Trade?
A business of buying and selling people for profit
What is the industry standard for foodcost on products to be sold as wholesale?
This may not be the answer you are seeking - maybe too simple. But as far as I know the there's no industry standard. Businesses sell to grocers (as well as all other types of stores/products), then the grocers mark up the prices in order to make a profit when they resell items to the public. The grocers buy at wholesale prices - that is, the price of buying directly from the business/factory that makes the product. After markup prices are called retail prices. So, wholesale prices are simply the cost of buying directly from the manufacturer, thus these prices can vary, as Del Monte wont likely charge the same exact prices that Dole's will, for example. So anyone claiming to sell to you at wholesale prices is saying no markup for profit has been added - either you're buying directly from the maker of the product, or someone is selling you items for no profit. Or someone is exaggerating and they have marked up the product cost, and claiming their marked-up price is as cheap as if you purchased directly from the product maker, which it probably is not, or else its damaged and they got it much cheaper than the norm. The only way to check for sure is to know the name of the company that makes the product and look them up to see what they charge.
Who are people that hoped to make a profit by selling and buying land?
speculators
What is the buying of land with the intention of selling at a profit when the market rises?
speculation
How did the French profit most from their activities in the world?
Buying and selling furs
Do communism deal with the term profit?
Yes--buying and selling involves profit and these occur in communist countries.
