Question

. Find the sticker price and the dealer's cost for the Spinit 1200 with a base price of $32,080.00. Options cost $536.00, $872.00, and $984.00. Destination charges total $1,360.00. The dealer pays 74% of the base price and 50% of the options.

Answer 1

• sticker: $35,832
• dealer cost: $26,295.20

Explanation:

Sticker Price

The total cost of options is ...

$536 +872 +984 = $2392

The sticker price is ...

sticker price = base price + total options + destination charge

= $32,080 +2,392 +1,360

sticker price = $35,832

Dealer Cost

The dealer gets a discount on the base price and options, but must pay the destination charge.

dealer cost = 0.74×base price + 0.50×total options + destination charge

= 0.74×$32,080 + 0.50×2392 + 1360

dealer cost = $26,295.20