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Subwholesaler to Retailer Cigarette Minimum Price Calculation

  1. Multiply the wholesaler to subwholesaler purchase price from your invoice by the current approved cost of doing business percentage.
  2. A fractional part of a cent equal to one-tenth of a cent or more in the result of step 1 must be rounded off to the next highest cent.
  3. Add the result from step 1 to the wholesaler to subwholesaler purchase price.
  4. The result of step 3 is the minimum price that you may sell to your licensed retailers.

Example:
$ 34.00 Purchase price per carton
x 0.0042 Cost of Doing Business percentage
$ 0.1428 (14%)

$34.00 Purchase price per carton
+ .14 Result from step 1 (14%)
$34.14 Minimum subwholesaler to retailer selling price per carton