Question

1. Abby Matthew, store manager for Sears, does not know how to price a refrigerator that costs $900. Abby knows her boss wants a 40% markup on cost. What should the price of the refrigerator be?

Answer 1

900+.4*900=1260
...............

Answer 2

Answer: The price of the refrigerator would be $1260.

Explanation:

Since we have given that

Cost of refrigerator = $900

Rate of mark up = 40%

So, Amount of mark up is given by

`(40)/(100)* 900\\\\=0.4* 900\\\\=360`

Price of the refrigerator after mark up is given by

`\$900+\$360\\\\=\$1260`

Hence, the price of the refrigerator would be $1260.