(1) The posted price of liquor is determined by:

(a) adding:

(i) the wholesale price as set forth in (2);

(ii) the liquor excise tax as determined under 16-1-401, MCA; and

(iii) the liquor license tax as determined under 16-1-404, MCA;

(b) dividing the total from (a) by the number of individual units within the case; and

(c) rounding the total from (b) up to the next nickel increment.

(2) The wholesale price is determined by:

(a) adding:

(i) the vendor's current quoted price per case; and

(ii) the department's current freight rate per case to agency liquor stores; and

(b) multiplying the total from (a) by the state markup as set forth in (3).

(3) Unless a vendor qualifies for a reduced state markup under ARM 42.11.106, the state markup is as follows:

(a) 40 percent on any liquor other than fortified or sacramental wine;

(b) 51 percent on fortified wine containing more than 16 but no greater than 24 percent alcohol by volume; and

(c) 20 percent on sacramental wine containing more than 16 but no greater than 24 percent alcohol by volume.

(4) The department may reduce the wholesale price of products which the department has designated as discontinued for closeout or are determined to be overstocked in order to eliminate them from inventory.