Final answer:
To find the missing selling price, the cost ($738) is multiplied by the markup rate (33 1/3% or 0.333) to get the markup amount ($245.67), which is then added to the cost to yield the selling price ($983.67).
Step-by-step explanation:
To find the missing quantities, we need to use the given markup rate of 33 1/3% to determine the selling price. The markup rate indicates how much more the selling price is above the cost. Here's the step-by-step process:
- Convert the markup rate from a percent to a decimal. The rate of 33 1/3% becomes 0.333 (since 1/3 is equivalent to 0.333 decimal).
- Multiply the cost by the markup rate to get the markup amount: $738 × 0.333 = $245.67.
- Add the markup amount to the cost to get the selling price: $738 + $245.67 = $983.67.
Therefore, the selling price should be $983.67. Comparing this with the options provided, we can see that the answer is close to option c) $986.67, assuming that the prices include rounding to the nearest cent.