Question

The selling price of a refrigerator is $548.90. If the markup is 10% of the dealer's cost, what is the dealer's cost of the refrigerator?

Answer 1

Dealer's cost = $499

Step-by-step explanation

The markup percent is given as

`\text{Markup percent = }\frac{(Selling\text{ Price) - (Cost)}}{Cost}*100\text{ percent}`

Markup percent = 10%

Selling Price = 548.90 dollars

Cost = ?

`\begin{gathered} \text{Markup percent = }\frac{(Selling\text{ Price) - (Cost)}}{Cost}*100\text{ percent} \\ \text{10 = }\frac{548.90\text{-(Cost)}}{Cost}*100\text{ percent} \\ 0.1=\frac{548.90-\text{Cost}}{\text{Cost}} \\ \text{Cross multiply} \\ 0.1(\text{Cost) }=548.90-\text{Cost} \end{gathered}`

0.1 (Cost) + Cost = 548.90

1.1 (Cost) = 548.90

Divide both sides by 1.1

Cost = (548.90/1.1)

Cost = 499 dollars

Hope this Helps!!!