Question

Jay King, owner of a local Bed and Bath Store knows that his customers will only pay at most, $299 for a blow up bed. Assuming Jay wants a 40% markup on selling price, the most he could pay the manufacturer for the blow up bed is:

Answer 1

The answer would be 747.50! Because if you were wanting to decrease the price then you would multiply $299 by 40% So since you are wanting to add to the price then you would divide...Hope that makes since :)

Answer 2

Answer: The most he could pay the manufacturer for the blow up bed is $213.57

Explanation:

Hi, if Jay King wants a 40% markup on selling price, we can state that “x” is 140% of $299.

Mathematically speaking:

1.4 x = $299

Where:

1.4 = decimal form of the percentage (140/100 =1.4)

x = manufacturer's blow up bed maximum price

Solving for x:

x = 299/1.4 = 213.57

So, the most he could pay the manufacturer for the blow up bed is $213.57