A customer just paid $29,540 for a car. If the percent markup based on cost is 111%, what was the cost?
can you explain a bit more please
$14,000?
correct
To find the cost of the car, we can use the formula:
Cost = Selling Price / (1 + Markup %)
In this case, the selling price is $29,540 and the markup percent based on cost is 111%.
First, let's convert the markup percent into a decimal by dividing it by 100:
Markup % = 111% / 100% = 1.11
Now, we can substitute the values into the formula:
Cost = $29,540 / (1 + 1.11)
Simplifying further:
Cost = $29,540 / 2.11
Cost ≈ $14,000.95
Therefore, the approximate cost of the car is $14,000.95.
p(1 + 1.11) = 29540
That's some markup!