A certain item has a production cost of $24. The manufacturer takes a 25 percent markup, the wholesaler takes a 20 percent markup, and the retailer takes a 50 percent markup. Therefore, the item has a retail selling price of $80.

Question

Quizplus · Accepted Answer

The manufacturer's markup is 25% of $24, which is $6. The wholesaler's markup is 20% of $30, which is $6. The retailer's markup is 50% of $36, which is $18. The total markup is $6 + $6 + $18 = $30. The retail selling price is $24 + $30 = $54.

A Certain Item Has a Production Cost of $24