A good is bought wholesale for $3.80
The good is sold for $5.76
What is the markup rate?
Calculate Markup Amount:
Markup Amount = Final Price - Original Price
Markup Amount = $5.76 - $3.80
Markup Amount = $1.96
Calculate Markup Rate:
Let us define our rate as (x)Markup Amount = Original Price(x)
Divide each side by Original Price to isolate x:
| x = | Markup Amount |
| Original Price |
Plug in our numbers and solve:
| x = | $1.96 |
| $3.80 |
x = 0.51578947368421
Convert to Percentage:
Markup Percentage = 100 x 0.51578947368421 = 51.58%
Final Answer
Markup Percentage = 100 x 0.51578947368421 = 51.58%
