What is the total revenue due for a mailing with a 25% failure rate on presort verification?

To calculate the total revenue due for a mailing with a 25% failure rate on presort verification, it is important to first understand what presort verification entails. In the context of direct mail, presorting involves organizing mail in such a way that it meets certain criteria to qualify for lower postage rates. However, when there is a failure rate of 25%, it indicates that 25% of the mailed pieces do not meet these qualifications and will not be eligible for the discount associated with presorting.

Assuming the total mailing cost before any deductions is $145, a calculation can be performed to determine the effective revenue due. You take the original amount and account for the 25% failure rate, meaning 75% of the mail is successful.

1. Calculate the number of successfully eligible pieces, which is 75% of the total cost:

75% of $145 is $108.75.

This resulting value of $108.75 represents the revenue due after accounting for the failed presort verification on 25% of the mailings. Hence, this value accurately reflects the total revenue that can be expected from the successful portion of the mailing, confirming its correctness as the stance taken.