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Cost of a bicycle: $350.00 Markup: 12%. can you explain this to (if you can) ​

Cost of a bicycle: $350.00 Markup: 12%. can you explain this to (if you can) ​-example-1

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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%

User NicoCaldo
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