Given:
A department store buys 200 shirts at a cost of $3,600 and sells them at a selling price of $20 each.
To find:
The percent markup.
Solution:
A department store buys 200 shirts at a cost of $3,600. So, the cost price of each shirt is
[tex]C.P.=\dfrac{3600}{200}[/tex]
[tex]C.P.=18[/tex]
So, the cost price(C.P.) is $18 each.
The selling price(S.P.) is $20 each.
Now,
[tex]\text{Percent markup}=\dfrac{S.P.-C.P.}{C.P.}\times 100[/tex]
[tex]\text{Percent markup}=\dfrac{20-18}{18}\times 100[/tex]
[tex]\text{Percent markup}=\dfrac{2}{18}\times 100[/tex]
[tex]\text{Percent markup}=\dfrac{1}{9}\times 100[/tex]
[tex]\text{Percent markup}\approx 11.11\%[/tex]
Therefore, the markup percent is 11.11%.
