Question

A used-car dealer has a vehicle on the lot with a sticker price of $5999. If the

dealer markup on used vehicles is 20%, how much did the dealer pay for the
car?

Answer 1

$4999

Explanation:

Let the cost of the car be x

Then considering 20% markup, the sticker price is:

• x + 20% = 5999

Since 20% of x is 20/100x = 0.2x,

• x+ 0.2x = 5999
• 1.2x = 5999
• x = 5999/1.2
• x ≈ $4999

So dealer paid $4999 for the car