Every week, a grocery store buys 30 gallons of milk at a cost of $1.58 per gallon. The store owner anticipates a 15% spilage rate. To achieve a 20% markup based on cost, what should be the selling price per gallon? Round to nearest cent.

1.58 * 1.15 = 1.817

1.817 * 1.2 = $2.18

what do u multiply 1.817*1.2?

$2.18 isnt a choice.

Choices are:
A) $1.66
B) $1.98
C) $2.23
D) $2.32

30 gals. with 15% spoilage=4.5 gals.profit(30x1.58)x1.2=56.88 gals.xpricexcost+20%56.88./.25.5gals.=markupfor remaining gals. no-2.23 round 5gals.spoiled 56.88./.25=2.28 not it so round off 4gals. 56.88./.26=$2.1876 or $2.19

To find the selling price per gallon, we need to go through these steps:

Step 1: Calculate the number of gallons lost due to spoilage.
- The store expects a 15% spoilage rate.
- So, the number of gallons lost will be 15/100 * 30 gallons.
- 15/100 * 30 = 0.15 * 30 = 4.5 gallons

Step 2: Calculate the actual number of gallons available for sale.
- Subtract the lost gallons from the purchased gallons.
- The actual number of gallons available for sale = 30 gallons - 4.5 gallons = 25.5 gallons

Step 3: Calculate the markup cost per gallon.
- The store wants a 20% markup based on cost.
- So, the markup cost per gallon will be 20/100 * $1.58 = $0.316

Step 4: Calculate the selling price per gallon.
- Add the cost per gallon ($1.58) to the markup cost per gallon ($0.316).
- The selling price per gallon = $1.58 + $0.316 = $1.896

Step 5: Round the selling price to the nearest cent.
- The selling price per gallon rounded to the nearest cent = $1.90

Therefore, the selling price per gallon should be $1.90 to achieve a 20% markup based on cost.