Question

An antiques dealer buys a grandfather clock for $200. she sets the selling price at $350. when the clock doesn't sell after two months, she raises the price to $800 and moves the clock to her downtown store to appeal to a different market. the clock sells for $800 the next day. what is the maintained markup?

Answer 1

Maintained markup refers to the gross profit that generated after changing the price of the product.

Maintained markup = (Original retail - Reductions) - Cost of Goods Sold

so, the maintained markup is

($350 + $ 800) - $200

= $950