Question

1.

A sports store purchased tennis racquets for ​$79.12 less 25​% for purchasing more than 100​ items, and a further 31% was reduced for purchasing the racquets in October. The racquets were sold to customers for $57.37.

​(a) What is the cost of each​ racquet?

​(b) What is the markup as a percent of​ cost?

​(c) What is the markup as a percent of selling​ price?

2.

Sheridan Service sells oil at a markup of 35​% of the selling price. Sheridan paid $0.99 per litre of oil.

​(a) What is the selling price per​ litre?

​(b) What is the rate of markup based on​ cost?

3.

A car accessory is sold for ​$54.89. The​ store's markup based on cost is 40​%.

​(a) What is the cost of the car​ accessory?

​(b) What is the rate of markup based on selling​ price?

Answer 1

1)a)Cost of each racquet=Purchase Price-Further Discount due to October purchase

=($79.12-25%)-31%=$59.34-31%=$40.9446

b)Markup=SP-Cost=$57.37-40.9446=$16.4254

Markup as a % of cost=(16.4254/40.9446)*100= 40.12%

c)Markup as a % of SP=(16.4254/57.37)*100=28.63%

2)a)If SP is $100, markup is 35% of it=$35, hence cost is $65

If actual cost is $0.99, Actual Selling Price will be $100*0.99/65= $1.52(approx)

b)Markup rate on cost=(1.52-0.99)/0.99*100=53.54%

3)a)If cost is $100, markup is 40% of it=$40, SP=$100+40=$140

If actual SP is $54.89, Actual Cost=(54.89*100)/140=$39.21

b)Markup rate on SP=(54.89-39.21)/54.89*100= 28.57%