Deck 9: Markup and Markdown

Question 1

Which statement is correct to find the markup amount when the cost and selling price are known?

A) The markup amount is the sum of the selling price and the cost.
B) The markup amount is the difference between the selling price and the cost.
C) The markup amount is the markup rate times the cost.
D) The markup amount is the difference between the markup rate and 100%.

Answer 1

B

Question 2

Lucy and Jonathon own a hot dog stand. To increase sales, they reduce the price of their hot dogs from $1.50 to $0.99. What is the markdown rate?

A) 51%
B) 44%
C) 38%
D) 34%

Answer 2

D

Question 3

Which statement is true?

A) Selling price equals cost minus markup amount.
B) Markup amount equals cost plus markdown.
C) Markup amount equals cost minus selling price.
D) Selling price equals cost plus markup amount.

Answer 3

D

Question 4

Alice owns a clothing store. She is going to markdown her summer items by 35%. If a dress sells for $57.50, what is the markdown price?

A) $20.13
B) $37.37
C) $55.49
D) $77.63

Question 5

The markup rate of furniture at Al's Furniture Barn is 48%. If the markup amount on an armchair is $123, what is the cost of the armchair?

A) $256.25
B) $186.96
C) $159.04
D) $59.04

Question 6

If the cost is $8.59 and the selling price is $14.19, what is the markup amount?

A) $22.78
B) $14.19
C) $5.60
D) $1.65

Question 7

An item that sells for $58.25 and has a markdown rate of 35% will have a sale price of $37.86.

Question 8

Mr. Chang marked down bags of rice by 25%. If the sale price is $7.00, what is the original price of the rice?

A) $28.00
B) $9.33
C) $8.75
D) $5.25

Question 9

The cost of an oven is $375. If the markup rate is 30% of the selling price, what is the selling price?

A) $112.50
B) $262.50
C) $535.71
D) $675.13

Question 10

A sofa sells for $849. The cost of the sofa is $428. What is the markup rate of the sofa?

A) 30%
B) 48%
C) 50%
D) 98%

Question 11

A bookshelf with an original price of $78.75 is on sale for $49.61. What is the markdown rate?

A) 33%
B) 35%
C) 37%
D) 42%

Question 12

Gretchen knits scarves that she sells online. She uses a markup rate of 68% over the cost of the materials and sells the scarves for $32. What is the markup amount?

A) $23.67
B) $21.76
C) $19.05
D) $12.95

Question 13

Markdown is also called gross profit. It is the difference between cost and selling price.

Question 14

The cost of a package of pencils is $0.75, and the markup amount is $0.30. What is the markup rate of the pencils?

A) 30%
B) 35%
C) 40%
D) 45%

Question 15

If the selling price of a calendar is $12.95 and the markup amount is $4.25, what is the cost?

A) $17.20
B) $12.95
C) $8.70
D) $4.45

Question 16

A hat from last season is reduced by 60% and the markdown amount is $15. The sale price of the hat is $25.

Question 17

Yolanda owns a flower shop. On the third day after flowers are delivered, she marks down the price 60%. If a bunch of roses originally sold for $26, what is the sale price?

A) $17.40
B) $15.60
C) $12.60
D) $10.40

Question 18

Magnifying glasses sell for $12.50 and are marked up 32% of the selling price. What is the cost of a magnifying glass?

A) $4.00
B) $6.25
C) $7.75
D) $8.50

Question 19

Maryann is a sales associate at a jewelry store. She receives bracelets that cost $115 each and marks them up 35%. What is the selling price of a bracelet?

A) $40.25
B) $74.75
C) $155.25
D) $161.00

Question 20

The original price on a table is $250. The table is on sale for $137.50. What is the markdown rate?

A) 55%
B) 45%
C) 40%
D) 35%

Question 21

The retail price of a tennis racket is $89. If the markup rate is 25% based on cost, what is the cost of the tennis racket?

Question 22

A used car sells for $7,239. The cost of the car is $5,296. What is the markup rate based on the cost of the car? Round to the nearest tenth of a percent.

Question 23

The cost of a package of paper is $13.85. The markup rate is 31%. What is the selling price?

Question 24

Jeff owns a gourmet food store. He prepares gourmet meals at a cost of $4.59 a meal and marks them up 42%. What is the selling price of a meal?

Question 25

Florence sells appliances at a local appliance store. Several clothes dryers were received that cost $215.68 each. If the markup rate is 56%, what is the retail price of a dryer?

Question 26

Both operating costs and net profit are used to calculate _______.

Question 27

The markup rate of a music CD is 32% based on cost. If the markup amount on a CD is $6.35, what is the cost of the CD?

Question 28

The cost of an item is $239, and the markup rate is 35%. What is the selling price?

Question 29

Net profit is what is left over after _______________ are paid.

Question 30

A jacket that originally sold for $52.99 is marked down 25%. What is the sale price?

Question 31

The markup rate of whole bean coffee at the Starlite Coffee Shop is 28% based on cost. If the markup amount on a pound of whole bean coffee is $2.25, what is the cost of the coffee?

Question 32

The markdown rate of an item is 30%, and the markdown amount is $18. What is the original price?

Question 33

The cost of a hairbrush is $2.20, and the markup is 25%. What is the selling price?

Question 34

To find the sale price of an item, multiply the original price by the _____________ of the markdown rate.

Question 35

A puppy at a pet store has his price reduced by 40%, and the markdown amount is $120. What is the sale price?

A) $480
B) $420
C) $300
D) $180

Question 36

A set of kitchen cabinets sells for $5,290. The cost is $3,923. What is the markup amount?

Question 37

What is the markup amount on a stool that costs $13.25 and has a markup rate of 52% based on its selling price?

Question 38

An item has a retail price of $35.99. If the markup amount is $11.19, what is the cost?

Question 39

Marlene sells make-up kits in her store. Each kit costs her $26.34. The markup amount is $7.25. What is the selling price?

Question 40

Lisa and Joseph own a lighting store. Last year, their net profit was $245,000. If last year's operating costs were $629,501, what were last year's gross profits?

Question 41

The markup amount on a bicycle is $48, which is a 30% markup based on cost. What is the cost of the bicycle?

Question 42

An item with an original price of $235 is on sale for $188. What is the markdown rate?

Question 43

The original price of a hair cut is $27. On Mondays, the price is reduced to $16.20. What is the markdown rate?

Question 44

The retail price of a camping chair is $12. If the markup rate is 30% based on cost, what is the cost of the camping chair?

Question 45

The original price of a boxed lunch is $5.25, and the sale price is $4.75. What is the markdown amount and markdown rate?

Question 46

The selling price of a pair of women's jeans is $47.50. If the markup rate is 33% based on cost, what is the cost of the jeans?

Question 47

An item costs $1,095 and the selling price is $1,292.10. How is the markup rate calculated?

Question 48

The cost of a hardcover book is $7.50. The markup rate is 25%. What is the selling price?

Question 49

A company buys swing sets for $1,500 and sells them at a markup rate of 40%. What is the markup amount?

Question 50

Janice marked down the coffee mugs 38%. If the sale price is $4.00, what is the original price?