The markup on a new diamond ring should be 25% based on selling price. If the seller paid $4,525.00 for one, then how much should it be sold for to achieve the desired markup?
A) $5,756.25
B) $5,000.00
C) $4,550.00
D) $6,033.33

Question

Quizplus · Accepted Answer

To achieve a 25% markup based on the selling price, let the selling price be x. Then, the cost price is 75% of the selling price (since 100% - 25% = 75%). So, 0.75x = $4,525. Solving for x gives x = $4,525 / 0.75 = $6,033.33.

The Markup on a New Diamond Ring Should Be 25