Question

The unit selling price is $2.50 the unit cost is $1.00 what action is needed to maintain the gross margin percentage when unit cost increases $0.25?

Answer 1

$2.50 / $1.00 = 2.5.

1,00 + 0.25 = 1.25

$1.25 x 2.5 = $3.125

round to $3.13

selling price need to increase to $3.13