Question

A store purchased an item for $35 and planned to sell it for $59.50 so that their profitwould be 50% of their cost. If they were unable to sell it for this amount, whatminimum selling price would allow them to break even?

Answer 1

We know that the item purchased by the store cost $35 and they planned to sell it with the purpose of obtaining a profit of 50% so we can calculate what is the 50% of $35 because that is the profit that we want so: 0.5*35=17.5

So they need to sell the item for $35 + $17.5= $52.5

$52.5 is the minimum selling price that would allow them to get a profit of 50%