ABC, Inc. plans to purchase 250 units of a certain component used in building computers in their U.S. factory. ABC, Inc. can purchase the components from country X at a price of $45 each plus an ad valorem duty of 38%, or from country Y at a price of $60 each plus an ad valorem duty of 3%. Compute the amount ABC, Inc. will save by purchasing from country Y.

Question

ABC, Inc. plans to purchase 250 units of a certain component used in building computers in their U.S. factory. ABC, Inc. can purchase the components from country X at a price of $45 each plus an ad valorem duty of 38%, or from country Y at a price of $60 each plus an ad valorem duty of 3%. Compute the amount ABC, Inc. will save by purchasing from country Y.​

Quizplus · Accepted Answer

The Answer of ABC, Inc. plans to purchase 250 units of a certain component used in building computers in their U.S. factory. ABC, Inc. can purchase the components from country X at a price of $45 each plus an ad valorem duty of 38%, or from country Y at a price of $60 each plus an ad valorem duty of 3%. Compute the amount ABC, Inc. will save by purchasing from country Y.​

ABC, Inc Plans to Purchase 250 Units of a Certain Component