Question

Find the missing quantities.

Cost
Selling Price
Markup
Markup Rate
$738.00
$
$
33 1/3%

a) $1,107.00
b) $1,088.10
c) $986.67
d) $748.50

Answer 1

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.