James Page works in a local music store where he sells guitars for $196.60 each. If he maintains a markup of 50.4% on selling price, what is the cost of a guitar to James?
A) $97.51
B) $295.69
C) $294.11
D) $99.09

Question

Quizplus · Accepted Answer

The cost of a guitar to James can be calculated by dividing the selling price by 1 plus the markup percentage (expressed as a decimal). So, the cost = $196.60 / (1 + 0.504) = $196.60 / 1.504 = $130.69. However, none of the options match this calculation, suggesting a possible mistake in the interpretation of the question or in the provided options. Given the options, $97.51 seems to be a mistake in calculation or interpretation. The correct approach to find the cost based on a markup on the selling price would involve understanding that the selling price includes both the cost and the markup. If the markup is 50.4% of the selling price, then the cost would be the selling price minus the markup. However, without the correct option listed, the closest approach to solving this with the given options would involve recognizing a mistake in the calculation process.

James Page Works in a Local Music Store Where He