Question

An electronics store owner is trying to how much they should try to sell a computer that cost the store $200. They want to increase this price by 25% for the store’s profit and then increase that new price by 15% to account for the sales person’s profit. How much should they sell the computer for?

Answer 1

They should sell the computer for $287.50

Explanation:

Let's solve the 25% increase first

100% = $200

100% + 25% = 125% = 1.25

200 x 1.25 = $250

Then we find the 15% increase

100% = $250

100% + 15% = 115% = 1.15

250 x 1.15 = $287.50

So, they should sell the computer for $287.50