SOLUTION: A particular style of sunglasses costs the retailer
$70 per pair. At what price should the retailer mark them so he can sell them at a 10% discount off the selling price and sti
Question 999708: A particular style of sunglasses costs the retailer
$70 per pair. At what price should the retailer mark them so he can sell them at a 10% discount off the selling price and still make 35% profit on his cost?
You can put this solution on YOUR website! cost = 70
he wants to make 35% profit on the cost.
this means he needs to sell them at 70 + .35 * 70 = 94.5 per pair.
if he wants to mark them so that 94.5 is the price after a 10% discount, then he needs to do the following:
let x = the markup price.
x - .10*x = 94.5
simplify to get .90 * x = 94.5
divide both sides of this equation by .9 to get:
x = 94.5 / .9 = 105.
he needs to mark them up to 105.
he then sells them at a 10% discount for .90 * 105 = 94.5
when he sell them at 94.5, his profit margin is (94.5 - 70) / 70 = 24.5 / 70 = .35 which is the same as 35%.
