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4 votes
The markup of a computer is $3,237.50. The markup rate is 75%. What is the selling price?

User Nirkov
by
6.3k points

1 Answer

3 votes

The applicable relation is

... selling price = cost + markup

You have not said what the base is for the markup percentage. If markup is 75% of the cost, then we have

... markup = 0.75×cost

... cost = markup/0.75 = 3237.50/0.75 = 4316.67

Then the selling price is

... selling price = $4316.67 +$3237.50 = $7,554.17

_____

If the markup is 75% of the selling price, then we have

... markup = 0.75×selling price

... selling price = markup/0.75 = $3237.50/0.75 = $4,316.67

User Sigug
by
7.0k points
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