A purchaser just paid $48,727.27 for a Crossover vehicle. If the markup based on cost was 45%, what was the cost of the crossover vehicle? (Round to the nearest whole dollar)
A) $21,927
B) $33,605
C) $26,800
D) $22,900

Question

Quizplus · Accepted Answer

The cost of the crossover vehicle can be found by dividing the selling price by 1 plus the markup rate (in decimal form). So, the cost = $48,727.27 / (1 + 0.45) = $48,727.27 / 1.45 ≈ $33,605.

A Purchaser Just Paid $48,727