23. You are expected to be familiar with the relationship
... cost + markup = selling price
a) cost + $23.99 = $119.95
... cost = $119.95 -23.99 = $95.96
b) The markup as a fraction of cost is
... markup/cost = $23.99/$95.96 = 0.25 = 25%
c) cost + markup = selling price . . . . the equation we started with
... cost/cost + markup/cost = (selling price)/cost . . . . divide by cost
... 100% + 25% = (selling price)/cost = 125%
25.
a) See part c) of problem 23. Selling price is 126% of cost.
b) Selling price = $450 × 1.26 = $567
c) Markup = $450 × 0.26 = $117
