Is that tier push worth it?

Buying more to hit the next rebate tier earns extra rebate. Carrying that stock until it sells costs money. This shows which one is bigger.

Purchases with this vendor so far this period

Tier schedule

Threshold ($)	Rebate (%)

Retroactive tiers? Yes No Yes: the new rate applies to every dollar bought this period. No: it applies only to dollars above the threshold.

Extra purchase to reach the next tier Filled in with the gap to the next tier. Change it if you like.

Annual carrying cost (%) Capital, storage, handling, shrink. 20–30% is typical.

Months to sell through the extra stock

Extra rebate earned

Carrying cost per month

Total carrying cost

Net

Break-even: . Assumes the extra stock sits for the full sell-through period.

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