It represents the profit margin of the retailer. Without that the retailer could not remain in business.
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simply multiply the wholesale price by the percentage markup (in this case 28%) to get the answer, for example: 8 x 0.28= 2.24 then add the answer to the original price 8 + 2.24= 10.24
50% markup.
100 percent markup will double the price. 200 percent markup would triple the price. (For markup read increase.)
p=wholesale price, m=markup p*m*(1-.15)=p*1.19 m*.85=1.19 m=1.19/.85=1.40 His markup must be at least 40%.
The correct formula when markup is based on the selling price is selling price is equal to the markup plus the cost. This enables traders make profits.