GB-43-02-001 · Best value
Pack A contains 5 notebooks for £14.80. Pack B contains 14 notebooks for £39.90. Which pack is better value? Show your working.
Financial Maths: Best Value (Unit Pricing)
Application of related method — Booklet p. 18 & p. 22
Method
1) Divide each pack price by the number of items to find the cost of 1 item
2) Compare unit costs and state which is cheaper
Worked Example (GB-43-02-001)
1)
A unit cost £2.96.
2)
B unit cost £2.85.
3)
Pack B has the lower unit cost.
Ans =
Pack B: £2.85 each compared with £2.96.