Question

A discount store buys a shipment of lawn mowers at a cost of $35 each. The lawn mowers will be sold for $105 apiece. What is the mark-up percentage?

A) 50%
B) 100%
C) 200%
D) 300%

Answer 1

The mark-up percentage of the lawn mowers is found by subtracting the cost price from the selling price, then dividing by the cost price and multiplying by 100. The calculation shows a mark-up of $70 on each lawn mower, which is 200% of the cost price.

Step-by-step explanation:

The question asks for the mark-up percentage of lawn mowers when their cost price is $35 each, and the selling price is $105 each. The mark-up is calculated by finding the difference between the selling price and the cost price, and then dividing that by the cost price. Here's the calculation:

• Mark-up = Selling Price - Cost Price
• Mark-up = $105 - $35 = $70
• Mark-up Percentage = (Mark-up / Cost Price) × 100
• Mark-up Percentage = ($70 / $35) × 100 = 2 × 100 = 200%

Therefore, the correct answer is C) 200%.