Question

A store pays $70 for a bicycle. The store is selling the bicycle for $84. What is the percent of markup?

Answer 1

Given:

`\begin{gathered} C_{\text{ost price}}=70 \\ S_{\text{elling price}}=84 \end{gathered}`

To Determine: The percentage markup

The percentage is calculated by the formula below

`P_{\text{ercent mark up}}=\frac{S_{elling\text{ price}}-C_{ost\text{ price}}}{C_{ost\text{ price}}}*100\%`

Substitute the given into the formula

`\begin{gathered} P_{\text{ercent mark up}}=(84-70)/(70)*100\% \\ P_{\text{ercent mark up}}=(14)/(70)*100\% \\ P_{\text{ercent mark up}}=(1)/(5)*100\% \\ P_{\text{ercent mark up}}=20\% \end{gathered}`

Hence, the percent of mark up is 20%