Q: Omega Restaurant buys Shiraz wine at $16.95 per bottle
Omega Restaurant buys Shiraz wine at $16.95 per bottle, and sells it to customers at $34.95 per bottle. Calculate Omega’s rate of markup on cost and rate of markup on selling price of the wine.
See AnswerQ: Loblaws purchases raisins at $85.75 per 25-kg
Loblaws purchases raisins at $85.75 per 25-kg box and then sells them in its bulk foods department for $0.59 per 100 g. What are Loblaws’ rate of markup on cost and rate of markup on selling price of...
See AnswerQ: Unit operating expenses for an item costing $30 are estimated at
Unit operating expenses for an item costing $30 are estimated at 40% of cost, and the desired operating profit is 25% of cost. Determine: 1. The selling price. 2. The rate of markup on cost. 3. The ra...
See AnswerQ: A retailer prices her goods to cover operating expenses at 30%
A retailer prices her goods to cover operating expenses at 30% of cost and to generate a profit of 20% of cost. For an item she buys from her wholesaler at $49, determine: 1. Its selling price. 2. The...
See AnswerQ: Projects X and Y both require an initial investment of $100
Projects X and Y both require an initial investment of $100,000. Project X will generate an annual operating profit of $25,000 per year for six years. Project Y produces no profit in the first year, b...
See AnswerQ: A merchant prices his inventory to allow for operating expenses at 30
A merchant prices his inventory to allow for operating expenses at 30% of selling price and an operating profit of 20% of selling price. If an item is priced at $49.98, determine: 1. The rate of marku...
See AnswerQ: The price structure in a store is such that, for every
The price structure in a store is such that, for every $100 of sales, $40 is the cost of the goods sold and $45 goes to overhead costs. For an item with a wholesale cost of $119, determine: 1. Its sel...
See AnswerQ: A men’s clothing store marks up suits by 75% of cost
A men’s clothing store marks up suits by 75% of cost. This provides an operating profit of 15% of the selling price. If a suit’s cost to the store is $132, determine: 1. Its selling price. 2. The rate...
See AnswerQ: An item costing $185 was marked up by 50% of
An item costing $185 was marked up by 50% of cost and subsequently marked down by $60 during a sale. Determine: 1. The regular selling price. 2. The rate of markdown.
See AnswerQ: The sign on a rack of sport coats reads: “All
The sign on a rack of sport coats reads: “All prices already marked down 30%!” What is the regular selling price of a coat marked at: 1. $100? 2. $196.49?
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