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joyseychow
- Master | Next Rank: 500 Posts
- Posts: 125
- Joined: Mon Dec 15, 2008 9:24 pm
This is simple but I can't seem to get around this one. Especially with "determined a selling price that equaled the purchase price of the jacket plus a markup that was 25 percent of the selling price". Appreciate if someone could explain.
A merchant purchased a jacket for $60 and then determined a selling price that equaled the purchase price of the jacket plus a markup that was 25 percent of the selling price. During a sale, the merchant discounted the selling price by 20 percent and sold the jacket. What was the merchant’s gross profit on this sale?
(A) $0
(B) $3
(C) $4
(D) $12
(E) $15
A merchant purchased a jacket for $60 and then determined a selling price that equaled the purchase price of the jacket plus a markup that was 25 percent of the selling price. During a sale, the merchant discounted the selling price by 20 percent and sold the jacket. What was the merchant’s gross profit on this sale?
(A) $0
(B) $3
(C) $4
(D) $12
(E) $15
