Question

A company plans to buy plane tickets for an outing for 500 of its staff.
Please help with the calculations for this group of companies.
A travel agency A offers a ticket price of IDR 1,750,000 / ticket with a promotion as
following:
Every purchase of 9 tickets, 1 free ticket plus a discount voucher that can be used
for the next purchase of IDR 1,000. 000, - which relates to a minimum transaction per
bill of IDR 12,000,000, -and above.
Please calculate if buying from travel agency A:
1. How much is the total rupiah of money to be spent for the 500 people with
maximize the promotional package above?
2. How much will the net price per 1 ticket fall after deducting the above promotional packages?
3. How much rupiah the discount can be enjoyed per 1 ticket?
4. There is a travel agency B offering a promotional package in the form of a ticket price of IDR 1,650,000
with a discount of 15% per 1 ticket, whichever is chosen, travel agency A or
B?

Answer 1

1) Calculation of total rupiah monry to be spent for 500 people with maximize promotional expense

Comapny has to buy palne ticket for 500 people, company's promotional policy is for every 9 ticket 1 ticket is free also 1000 is discount if bill is above 12,000,000

therefore, cost of 450 tickets will be 1750000*450= 787500000

1000 will be discount therefore for 1000 tickets it will be (1000*500=500000)

Thus, total cost will be787500000-500000=78700000

2) Net price of above ticket after deducting promotional expense will be

=total cost/ no of tickets

=78700000/500

=1574000

3) 1750000-1574000= 176000 rupiah discount can be enjoyed per ticket.

4) Travel Agency B charges 1650000 per ticket also 15% discount on per ticket

Therefore Net price of 1 ticket By travel agent b will be 1650000-15% =1402500

Total cost will be

1402500*500= 701250000

Total cost of travel agent B is 70125000 while of Travel agent A is 78700000 which is 8575000 less (i.e., per ticket it will be less by 17150)

Thus, Travel agent B will be selected.