Answer:
MARGIN = 10.7%
REVENUE = $392
PROFIT = $42
Explanation:
Cost of bicycle: $350.00
Markup: 12%
We're gonna find selling price
Firstly what's markup
a markup definition is the amount that is added to the wholesale price of a product or service in order to cover overheads and turn a profit.
What is the Formula to Calculate Selling Price?
The selling price is the difference between the cost or a product or service and the markup price.
Therefore, the formula to calculate the selling price is:
SELLING PRICE = MARKUP – COST
A bicycle costs $350,
( $350 x 0.12 = $42 + $350 = $392 ).
the marked-up selling price would be $15
Revenue = $392
Profit = $42
How to calculate margin
Margin = Profit/Cost of bicycle * 100
Margin = 42/350 * 100
Margin = 0.107 * 100
Margin = 10.7%