Question

Find the markup and the rate of markup based on cost when the cost is $5.36 and the selling price is $6.82 round amounts to the nearest cent and percents to the nearest 10th of a percent

Answer 1

In order to calculate the markup, let's subtract the selling price by the cost of the product:

`\begin{gathered} \text{markup}=6.82-5.36 \\ \text{markup}=1.46 \end{gathered}`

Therefore the markup is $1.46

Now, to find the rate of markup, we divide the markup by the cost:

`\text{rate}=(1.46)/(5.36)=0.272=27.2\%`

Therefore the rate of markup is 27.2%.