Order for 620 dresses from China, cost is $40 a gown, markup based on selling is 76%, what is the selling price of each gown?
166.67
To calculate the selling price of each gown, you will need to follow these steps:
1. Calculate the total cost of ordering 620 dresses from China:
Total Cost = Number of Dresses * Cost per Dress
Total Cost = 620 * $40 = $24,800
2. Calculate the markup cost based on the selling price:
Markup Percentage = 76%
Markup Cost = Total Cost * (Markup Percentage/100)
Markup Cost = $24,800 * (76/100) = $18,848
3. Calculate the total cost including the markup:
Total Cost with Markup = Total Cost + Markup Cost
Total Cost with Markup = $24,800 + $18,848 = $43,648
4. Determine the selling price per gown:
Selling Price = Total Cost with Markup / Number of Dresses
Selling Price = $43,648 / 620 ≈ $70.41
Therefore, the selling price of each gown would be approximately $70.41.