Holiday Hardware purchased 60 items at a list price of $44 less 17%, 9%. The items were marked up 71% of the selling price. Ten of the items sold at a markdown of 30%. Five sold at a markdown of another 47%. The remainder sold at the regular selling price. What is the effective markup rate based on sales?
Round your final answer properly to two decimal places. Do not enter the % symbol in the answer box.
a) What is the Cost (C) per item?
b) Using your rounded answer in a) what is the Total Cost (TC)?
c) What is the selling price?
d) What is the selling price after the first markdown?
e) What is the selling price after the second markdown?
f) Determine the total sales (TS).
g) What is the effective markup based on sales?
Holiday hardware purchased 60 items at a list price of $44 less 17% less 9%.
(a) Cost price per item:
(b) Total cost=$33.23*60=$1993.80
(c) The items were marked up 71% of the selling price. The selling price for each item was
Ten of the items were sold at a markdown of 30%.
Selling price of these ten items were at $56.82(1-0.30)=$39.77
(d) Selling price after first markdown was $39.77.
Five of the items were sold at a markdown of another 47%.
Selling price of these five items were at $39.77(1-0.53)=$18.69
(e) Selling price after second markdown was $18.69.
The remaining (60-(10+5)), i.e. 45 items sold at regular selling price, i.e. at $56.82 each.
(f) Total sales =($39.77*10+$18.69*5+$56.82*45)=$3048.05
(g) Effective mark-up rate based on sales=(Eventual total selling price-total cost price)/total cost price