The department store marks up the wholesale price by 50%. This means that they add 50% of the wholesale price to the wholesale price to get the selling price.
To find the selling price, we first need to find 50% of the wholesale price. We can do this by multiplying the wholesale price by 0.5:
50% of $6.50 = 0.5 x $6.50 = $3.25
Now we can add this amount to the wholesale price to get the selling price:
Selling price = Wholesale price + 50% of wholesale price
Selling price = $6.50 + $3.25
Selling price = $9.75
Therefore, the price of the pillow in the department store is $9.75.