Answer:
To determine the markup percentage, we can use the concept of a profit margin.
Let's assume the original cost price of the hosiery items is represented by "C".
The supermarket offers a 10% discount on the sale of hosiery items, which means the selling price is 90% of the original cost price.
So, the selling price of the hosiery items is 0.9C.
The supermarket earns a profit of 17% on the sale, which means the profit is 17% of the selling price.
Profit = 0.17 * (0.9C)
To calculate the markup percentage, we need to find the difference between the selling price and the cost price, and then express it as a percentage of the cost price.
Markup = (Selling Price - Cost Price) / Cost Price * 100
Markup = (0.9C - C) / C * 100
Markup = (-0.1C) / C * 100
Markup = -10%
Therefore, the supermarket marks up the price of the hosiery items by 10% in order to earn a profit of 17% on their sale.
