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Walmart sold a set of callaway clubs for $700. Walmart marks up their club sets 300%. How much did Walmart pay Callaway for the set of clubs?

User Ori
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Final answer:

To determine Walmart's cost price for a set of Callaway golf clubs sold for $700 with a 300% markup, divide the selling price by 4, resulting in a cost of $175.

Step-by-step explanation:

The question pertains to a mathematical concept related to profit calculation, specifically focusing on the markup percentage.

If Walmart sells a set of Callaway golf clubs for $700 and marks them up 300%, we need to calculate how much Walmart originally paid for the set of clubs.

To find this, we use the markup formula: selling price = (1 + markup percentage) × cost price.

In this scenario, $700 = (1 + 300%) × cost price, meaning that $700 = 4 × cost price.

Therefore, the cost price, or how much Walmart paid Callaway for the set of clubs, is $700 / 4, which equals $175.

User Pierre Duplouy
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