Question

Solve question A.Question A: General Hospital is able to purchase Drug A from the manufacturer for $150 dollars. When Billing Cigna, they mark up the drug 210%. How much does General Hospital Charge Cigna for Drug A?Question B. Assuming General Hospital marks up Drug A 210%, Drug B 200% and Drug C 175%, can you estimate how much would they charge Cigna if they are able to purchase Drug D for $95

Answer 1

Answer:

$465

Explanation:

To know how much the General Hospital charges Cigna, we will use the following equation:

$\text{ Marked price = Cost price \lparen1 + Mark up\rparen}$

So, replacing the cost price = $150 and the mark up = 210% = 2.1, we get:

$\begin{gathered} \text{ Marked Price = 150\lparen1 + 2.1\rparen} \\ \text{ Marked Price = 150\lparen3.1\rparen = 465} \end{gathered}$

Therefore, the answer to question A is $465.