A tie pin which sells for $200.00 has a markup rate of 30% on the selling price. Find the amount of the markup and the cost.
selling price= 200= cost+markup=1.30cost
cost= 200/1.3
markup=200-cost
A tie pin which sells for $200.00 has a markup rate of 30% on the selling price. Find the amount of the markup and the cost.
if cost is $22. and the markup is $6.80
To find the amount of the markup and the cost, we need to understand the relationship between the selling price, markup rate, and cost.
Let's first find the amount of the markup:
1. Convert the markup rate to a decimal by dividing it by 100: 30% = 30/100 = 0.30.
2. Multiply the selling price by the markup rate: $200.00 × 0.30 = $60.00.
Therefore, the amount of the markup is $60.00.
To find the cost, we subtract the amount of the markup from the selling price:
1. Subtract the amount of the markup from the selling price: $200.00 - $60.00 = $140.00.
Therefore, the cost is $140.00.
In summary:
- The amount of the markup is $60.00.
- The cost is $140.00.
Please note that the markup rate of 30% on the selling price means that the markup is calculated as a percentage of the selling price, not the cost.