Question

Joe owns a dirt bike shop. He bought a dirt bike at cost for $252. If he marks up the price by 60%, what is the retail amount of the bike? (Reminder you are working with money and need to round to 2 decimal places). The amount of Markup is $ . The retail amount is $

Answer 1

Given:

Cost of bike = $252

Markup % = 60%

To find:

The markup and retail amount.

Solution:

According to the question,

Markup = 60% of cost of bike

$Markup=\dfrac{60}{100}\times 252$

$Markup=0.6\times 252$

$Markup=151.2$

Now,

$\text{Retail amount}=\text{Cost + Markup}$

$\text{Retail amount}=252+151.2$

$\text{Retail amount}=403.2$

Therefore, the amount of Markup is $151.2. The retail amount is $403.2.