Question

A store pays $39 for a teapot. The store marks up the price by 40%. What is the amount of the mark-up?"

Answer 1

To calculate the mark-up on a teapot that a store buys for $39 and marks up by 40%, we convert 40% to a decimal (0.4) and multiply it by the cost price. The mark-up amount is $15.60.

Step-by-step explanation:

The student is asking how to calculate the mark-up amount for a teapot that a store purchases for $39 and then marks up by 40%. To find the mark-up amount, we first need to determine 40% of the store's cost price. We can do this by converting the percentage to a decimal and then multiplying by the cost price of the teapot.

Here is the step-by-step calculation:

1. Convert the 40% mark-up to a decimal by dividing 40 by 100, which gives us 0.4.
2. Multiply the store's cost price of the teapot by the decimal mark-up rate: $39 * 0.4.
3. This calculation gives us the mark-up amount: $15.60.

Therefore, the amount of the mark-up on the teapot is $15.60.