Question

Cecil Green sells golf hats. He knows that most people will not pay more than $20 for a golf hat. Cecil needs a 40% markup on cost. What should Cecil pay for his golf hats? (Round your answer to the nearest cent.) Cecil pays $

Answer 1

If we call the cost C then Cecil has to mark the product up 40% of C. That means he needs to charge the whole cost (100%) + 40% of the cost.

That is 140% of C. This amount needs to be $20.

In an equation we have 140% of C which can be written
`( (140)/(100) )C` set equal to $20. We solve for C which is the cost or what Cecil should pay for a hat.


`((140)/(100) )C=20`

`((7C)/(5) )= (20)/(1)`

This is a proportion so we cross-multiply to solve:

`100=7c`

`(100)/(7) =C`
C=$14.29