The markup on a video camera should be 37 % based on selling price. If the seller paid, $ 390 for one, then how much should it be sold for to achieve the desired markup?
(a)$ 404.34 (b) $ 1,054.05 (c) $ 404.43 (d) $ 619.05 (e) $ 534.30
390 * 1.37 = ?
To determine the selling price of the video camera to achieve the desired markup, you need to add the markup amount to the cost price of the camera.
Let's calculate the markup amount:
Markup percentage = 37%
Cost price = $390
Markup amount = Markup percentage * Cost price
Markup amount = 0.37 * $390
Markup amount = $144.30
Now, add the markup amount to the cost price to get the selling price:
Selling price = Cost price + Markup amount
Selling price = $390 + $144.30
Selling price = $534.30
Therefore, the correct answer is (e) $534.30.