Question

Lorraine works at a gift shop. She buys 500 accessories at $1.25 each. She resells them all to make a profit of $375.00.
What percent does she mark up the price of each accessory?

Answer 1

Profit percent made by Lorraine is 60%

Explanation:

Given:

Number of accessories = 500

Cost of each gift = $1.25

Profit = $375

Profit% = ?

Total price of the gift = 500 X $1.25

Cost price = $625

Profit = SP - CP

$375 = SP - $625

SP = $1000

Profit % = $(\frac{SP-CP}{CP} ) X 100$

$P = (\frac{1000 - 625}{625}) X 100 \\\\P = 60%$

Therefore, profit percent made by Lorraine is 60%