Given the following information,what is the initial markup percentage? Planned sales = $180,000; planned expenses = $48,000; planned profit = $12,000 and planned reductions = $4,000.
A) 33 percent
B) 39 percent
C) 35 percent
D) 37 percent
E) 40 percent

Question

Quizplus · Accepted Answer

Planned markup = Planned sales + Planned expenses + Planned profit - Planned reductions = $180,000 + $48,000 + $12,000 - $4,000 = $246,000. Initial markup percentage = Planned markup / Planned sales = $246,000 / $180,000 = 35%.

Given the Following Information,what Is the Initial Markup Percentage? Planned