Question

Your typical markup for merchandise is 36%. The cost of an item is $11.00. Calculate the selling price.

a) $12.10
b) $13.89
c) $14.96
d) $15.05

Answer 1

To find the selling price with a 36% markup on an $11.00 item, multiply the cost by 0.36 to calculate the markup amount ($3.96), and then add it to the original cost to get the selling price of $14.96.

Step-by-step explanation:

To calculate the selling price of an item given that your typical markup for merchandise is 36% and the cost of an item is $11.00, you first need to calculate the amount of the markup by multiplying the cost by the markup percentage. To do this, convert the percentage to a decimal and then multiply.

0.36 × $11.00 = $3.96

Next, add the markup to the original cost to find the selling price.

$11.00 + $3.96 = $14.96

Therefore, the correct selling price is $14.96, which corresponds to option c).