A convenience store sells prepaid mobile phones. It purchases them for $12 each and uses a markup rate of 250%.
To determine the selling price of a prepaid mobile phone, we need to consider the markup rate of 250% on the purchasing price of $12.
Markup is calculated by multiplying the buying price by the markup rate:
Markup = Buying Price * Markup Rate
In this case:
Markup = $12 * 250% = $12 * (250/100) = $12 * 2.5 = $30
Therefore, the selling price of a prepaid mobile phone at the convenience store is $30.