Unit Prices?

Question

Say you go to Target or any drug store. You see a box of 250 Tylenol
caplets costs $7.50, while the Target brand is $3.50 for 200 caplets.
Which one is cheaper and why?


First one to answer correct will get 10 points

Please break down in prices.

Answer 1

Tylenol costs $0.03/capsule
Target Brand is $0.0175/capsule

Targets have the cheaper unit cost, because they do not have to collect for R&D or marketing of their house brand product.

Answer 2

It's a simple matter of division--which we all should have learned by about the third or fourth grade, right? The store brand is, of course, cheaper. $3.50 divided by 200 is 1.75 cents per pill, but the Tylenol costs $7.50, divided by 250, which is 3 cents per pill--nearly twice as much!

Answer 3

The target brand is cheaper because it costs less per tablet. vs the tylenol

Answer 4

the target brand is cheaper because it is not patented, so therefore the tylenol brand with the patent would cost more. It's like NIKE brand names are always more expensive.

Answer 5

200@$3.50=0.85 per 50
250@7.50=1.25 per 50

Private brands have no national advertising expense built into the cost.
There are never any 'Sales Commissions" for Reps.
These are considered in house accounts.

Answer 6

It's the generic version of the same drug. Often generic versions do not have the same overhead costs such as advertising, packaging, & research and development.