Finance and Administration

Markdown Schedule

UNCP Bookstore Policy BK 03 98

Purpose: To provide guidance for marking down slow-selling or stale-dated merchandise.

Scope: Bookstore inventory excluding computer hardware and textbooks.

Policy: Inventory which is determined to be slow selling or dead and has no return value will be scheduled for markdowns. Dead inventory may be determined by running a dead inventory report (8.10.10 in Sellmate). Any merchandise that has not moved within the past nine (9) months or determined to be seasonal or slow selling will be marked down. The initial markdown will be 20% to 25% as determined by the buyer and the store manager after reviewing the dead inventory report. In cases approved by the manager, the markdown may exceed the suggested range or be exempt from the markdown procedure.

On a monthly basis minimum, the marked down inventory will be reduced per the terms of the consolidating table below. The marked down inventory should be reviewed for additional consideration prior to the June 30 fiscal year closing.

SAMPLE SCHEDULE


Retail

1st M/D%

2nd M/D%

3rd M/D%

4th M/D%

$38.95

$31.16 (20%)

 $23.95

$17.95

$12.95

$38.95

$29.21 (25%)

$20.95

$14.95

$10.95

$12.95

 $9.71 (25%)

$7.95

$4.95

 $3.95


SELLING PRICE RANGE

MARKDOWN PRICE

Above $ - verify with manager  

$49.01 - $54.00

$38.95

$44.01 - $49.00

$34.95

$39.01 - $44.00

$31.95

$34.01 - $39.00

$27.95

$30.01 - $34.00

$23.95

$26.01 - $30.00

$20.95

$22.01 - $26.00

$17.95

$18.01 - $22.00

$14.95

$15.01 - $18.00

$12.95

$12.01 - $15.00

$10.95

$  9.01 - $12.00

$  7.95

$  6.01 - $  9.00

$  4.95

$  4.01 - $  6.00

$  3.95

$  2.01 - $  4.00

$  1.95

$    .96 - $  2.00

$    .95