At the hardware store , you buy hammers for $ 30 a dozen. And sell them for $ 3.50 each. What is the percent mark up for the hammers?
30 / 12 = $2.50 each
1/2.5 = 0.4 = 40% markup
To calculate the percent mark-up, you need to find the difference between the buying price and the selling price, and then express it as a percentage of the buying price.
First, let's determine the buying price for one hammer. You buy a dozen hammers for $30. To find the price per hammer, divide the total price by the number of hammers in a dozen:
$30 ÷ 12 = $2.50
So, the buying price for one hammer is $2.50.
Next, find the difference between the selling price and the buying price:
Selling price - Buying price = $3.50 - $2.50 = $1.00
Now, calculate the mark-up percentage by dividing the difference by the buying price:
($1.00 ÷ $2.50) × 100
To simplify the calculation, divide the numerator and denominator by $0.50:
(2 ÷ 5) × 100
Multiply and divide by 20 to further simplify:
(2 × 20 ÷ 5) × 100 = 40 × 100 = 4,000
The mark-up percentage for the hammers is thus 4,000%.
So, the percent mark-up for the hammers is 4,000%.