Question

Blake, an accountant, observes that his company purchased coffee tables at a cost of $20

and is currently selling them at a price of $56. What is the mark-up percentage?

Answer 1

180%

Explanation:

-Markup price is defined as the difference between a product's selling and cost prices.

#We subtract the cost price from the selling price to determine the markup price:

`Markup=Selling \ Price-Cost Price\\\\=56-20\\\\=\$36`

-The markup percentage is the markup price expressed as a percentage of the cost price and is calculated as follows:

`Markup \ Percentage=(Markup)/(Cost \ Price)* 100\%\\\\=(36)/(25)* 100\%\\\\=180\%`

Hence, the markup percentage is 180%