Solve the problem.
-A retail store buys 225 VCRs from a distributor at a cost of $205 each plus an overhead charge of $20 per order. The retail markup is 40% on the total price paid. Find the profit on the sale of one VCR.
A) $82.04
B) $82.00
C) $8204.00
D) $81.96

Question

Quizplus · Accepted Answer

The cost of one VCR for the store is $205 plus the overhead charge of $20 per order, divided by the number of VCRs, which is negligible when divided by 225. So, the cost is approximately $205. The retail price is $205 * 1.40 = $287. The profit on one VCR is $287 - $205 = $82.

Solve the Problem. -A Retail Store Buys 225 VCRs from a Distributor at a Distributor