Problema Solution
a computer software retailer uses a markup rate of 40%. Find the selling price of a computer game that costs the retailer $40
Answer provided by our tutors
The markup is 40% of the $40 cost, so the markup is:
(0.40)(40) = 16
selling price = cost + markup
selling price = 40 + 16
selling price = $56
the selling price of a computer game is $56.