Question

Bari Jay, a gown manufacturer, received an order for prom dresses from China. Her cost is $45 a gown. If her markup based on selling price is 69%, what is the selling price of each gown?

(Round your answer to the nearest cent.)

Answer 1

To calculate the selling price of a gown with a cost of $45 and a markup of 69% based on the selling price, we use the formula SP = C / (1 - Markup). Upon applying the values, the selling price comes out to be approximately $145.16.

Step-by-step explanation:

The student question involves calculating the selling price of a gown given the cost and markup percentage based on the selling price. To find the selling price (SP) when the cost (C) is $45 and the markup based on selling price is 69%, we need to use the formula:

Markup = (SP - C) / SP

So, if we rearrange the formula to solve for SP, we get:

SP = C / (1 - Markup)

Plugging in the values:

SP = $45 / (1 - 0.69)

SP = $45 / 0.31

SP ≈ $145.16

Therefore, the selling price of each gown would be approximately $145.16.