Which of the following represents the cost-plus pricing formula?
A) Price = cost + (markup percentage * cost).
B) Price = cost + markup percentage.
C) Price = markup percentage * cost.
D) Price = cost / markup percentage.
E) Price = cost + (markup percentage + cost).

Question

Quizplus · Accepted Answer

Cost-plus pricing is calculated by adding a markup percentage to the cost of the product. Option A correctly represents this formula as Price = cost + (markup percentage × cost), which accounts for both the base cost and the additional charge based on the markup percentage.

Which of the Following Represents the Cost-Plus Pricing Formula