Thursday, 29 March 2012

A penny± for your thoughts

Gov't scraps penny, a 'currency without currency'

I have just done some quick math on this and decided that all prices are about to go up by 1 or 2 cents as a tax on using cash...


9.99 $10.00 $10.01 $10.02 $10.03 $10.04 $10.05 $10.06 $10.07 $10.08 $10.09 $10.10
GST $10.04 $10.05 $10.06 $10.07 $10.08 $10.09 $10.10 $10.11 $10.12 $10.13 $10.14 $10.15
QST $10.14 $10.15 $10.16 $10.17 $10.18 $10.19 $10.20 $10.21 $10.22 $10.23 $10.24 $10.25

-$0.01 $0.00 $0.01 $0.02 -$0.02 -$0.01 $0.00 $0.01 $0.02 -$0.02 -$0.01 $0.00
Since the most common strategy of retailers is to set a price to $X.99 so as to trick the brain into NOT seeing that X=X+1 then most prices would cost Quebecers an extra penny.

Obviously the math does change across Canada as provincial sales taxes vary. I do, however, see an opportunity to abuse this and make a statement, if only for a short while…

Say you are going to pay cash for an item, it's price ends in 9¢, buy 3. 9x3=27 which becomes 25 taking 2¢ from the store. Similarly, prices ending in 4¢ become 4x3=12 which becomes 10. As for 8's and 3's buy 2 since 8x2=16 and 3x2=6 which become 15 or 5 respectively and which liberates 1 cent from the store.

I trust most stores will stop using these numbers 3,4,8,9 to end a price tag in Quebec pricing before long. Though I also suspect most will raise their prices to the next multiple of 5¢ and in the end we will still loose. Also remember that this only works if you are buying an item ending in 1,2,6,7¢ to pay in cash rather than Interac... Electronic pennies are "free" to print and will continue to exist so why give them to the store?

-DIrtyKID©

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