How can I compare the money saved when buying an item in bulk?
How can I compare the money saved when buying an item in bulk?
Lets say I can buy 200 of something for $20. but for $60, I can buy 750 of them. How can I quantify the money saved as cost per unit?
You're viewing a single thread.
$20 / 200 items = $0.10 per item $60 / 750 items = $0.08 per item
So your savings are $0.08 - $0.10 = -$0.02 per item.
Ah, another math nerd that isn't asking what the item is or how much it costs to ship back defective items.
There's no such thing as mass produced items that don't have some percentage of defects. Like, what's the insurance policy on the items? Who pays for return shipping when defects are returned?...
There's more to it than a pocket calculator can answer.
"That is correct, but also take into account that defect and return rates may behave differently when buying in bulk. Here's an explanation..."
You can insert the same point in a constructive way without shitting on someone for answering correctly and helpfully.
I am not a "Math Nerd©" but even I know that what the item is doesn't matter to answer this question. The question is about how to compare what the savings are per item bulk vs individual. It could be cars or bananas, what the item is is not important to the question. The question is asking for formula by example, not for someone to do their example math problem and return an itemized price sheet.
Returns and defects can effect savings per item, but the question does not include a clause that requires this calculation. Since the question does not mention it, it can be assumed OP was asking about savings before any defects or returns are made. This is not a net savings question, it is a gross savings question. Gross savings of course being the savings before any modifiers such as sales or import taxes (which are also not mentioned and therefore rightfully ignored by the person you attempted to "correct"), or in this case, defects and returns.
If it's food, it needs constant refrigeration and such. If it's fidget spinners or whatever, those can usually last on the shelf for years.
Without knowing even roughly what OP is looking to purchase in bulk, we don't have sufficient information to calculate.
Let's say you purchase 1000 bananas. How long are they gonna last before they're all sold, vs going bad? But if you purchase 1000 fidget spinners, they might last 20 years on the shelf.
Insufficient information. Without knowing even the type of product, we can't make any assessments on the additional cost of storage.