Question

court time is selling tennis rackets for $64.99. The cost to court time is $37.48 per racket. Overhead is estimated to be 20 percent of the selling price. What is the net profit rate?

Answer 1

Find net profit
Marketup-overhead
(64.99−37.48)−(64.99×0.20)
=14.512
net profit rate
Net profit÷ selling price
(14.512÷64.99)×100
=22.33%