What is the implied salvage value for one bottle

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Reference no: EM13945145

Starbucks orders fresh raw milk from a local farm every day. They buy each 1-gallon bottle of milk for $2 and sell it at their store for $4. If they are unable to sell the bottles by the end of the afternoon they sell the remainder to a nearby baker at a salvage value. If the storeowner has been using a service level of 66.67%, what is the implied salvage value for one bottle?

Reference no: EM13945145

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