Question

If a customer is sold an item for $225 and the item was marked up 80%, what was the original cost of the item?

Answer 1

The item was sold for $225 and the original cost of the item is unknown. The mark up of the item is 80%. The original cost can be solved below

let

cost price = x

`\begin{gathered} \text{selling price=\$225} \\ \text{ cost price=?} \\ \text{ mark up=80\%}=(80)/(100) \\ profit=(80)/(100)* x=0.8x \\ 225=0.8x+x \\ 225=1.8x \\ x=(225)/(1.8) \\ x=\text{ \$125} \end{gathered}`