It Costs a Company $6 to Manufacture a Product

Multiple Choice

It costs a company $6 to manufacture a product. It sells the product for $10 to a wholesaler who in turn sells it to a retailer for $12. A customer of the retailer buys it for $24. What was the markup on selling price for each member of this product's channel of distribution?

A) Manufacturer's markup = 40 percent; wholesaler's markup = 16.67 percent; retailer's markup = 50 percent
B) Manufacturer's markup = 48 percent; wholesaler's markup = 18 percent; retailer's markup = 45 percent
C) Manufacturer's markup = 60 percent; wholesaler's markup = 20 percent; retailer's markup = 100 percent
D) Manufacturer's markup = 66.67 percent; wholesaler's markup = 20 percent; retailer's markup = 100 percent
E) Manufacturer's markup = 60 percent; wholesaler's markup = 23 percent; retailer's markup = 40 percent