SOLUTION: If a sporting goods store buys golf balls for $.75 and sells them for $2.25, its gross profit as a percent of cost is a. 3%. b. 20%. c. 33 1/3% d. n

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Question 57133: If a sporting goods store buys golf balls for $.75 and sells them for $2.25, its gross profit as a percent of cost is


a. 3%.
b. 20%.
c. 33 1/3%
d. none of the above.


Answer by rcmcc(152) About Me  (Show Source):
You can put this solution on YOUR website!
To calculate profit you must find the ratio of the costs.
Find the total amount of profit.
$2.25-$0.75=$1.50 profit
By calculating the ratio (Profit/Cost) then multiplying it by 100 to find percent. The gross profit as a percent is
(1.5/0.75)=2
2x100=200%
the profit on the golf balls is 200% so the answer is (d.)