7th 3-5 Markup and Markdown

Front

What is markup in pricing?

Back

Markup is the amount added to the cost price of goods to cover overhead and profit. It is usually expressed as a percentage of the cost.

Front

How do you calculate the selling price using markup?

Back

Selling Price = Cost Price + (Markup Percentage × Cost Price)

Front

If a toy costs $24 and has a 25% markup, what is the selling price?

Back

Selling Price = $24 + (0.25 × $24) = $30

Front

What is sales tax?

Back

Sales tax is a tax imposed by the government on the sale of goods and services, usually calculated as a percentage of the selling price.

Front

How do you calculate sales tax?

Back

Sales Tax = Selling Price × Sales Tax Rate

Front

If the selling price of an item is $120 and the sales tax rate is 7%, what is the sales tax?

Back

Sales Tax = $120 × 0.07 = $8.40

Front

What is percent increase?

Back

Percent increase is a measure of how much a quantity has increased relative to its original amount, expressed as a percentage.

Front

How do you calculate percent increase?

Back

Percent Increase = ((New Quantity - Original Quantity) / Original Quantity) × 100%

Front

If the original quantity is 100 and the new quantity is 106, what is the percent increase?

Back

Percent Increase = ((106 - 100) / 100) × 100% = 6%.

Front

What is percent markup?

Back

Percent markup is the percentage increase from the cost price to the selling price.