Deck 8: Markups and Markdowns: Perishables and Breakeven Analysis

Question 1

Percent markup on the selling price is equal to the amount of markup divided by the selling price.

Answer 1

True

Question 2

The amount of markup is represented as the portion only when markups are based on cost.

Answer 2

False

Question 3

Dollar markup divided by the selling price equals percent markup on cost.

Answer 3

False

Question 4

The selling price can be calculated if the cost and the percent markup on cost are given.

Question 5

The markdown percent is the amount of markdown divided by the new sale price.

Question 6

Dollar markdowns represent price increases to the original selling price.

Question 7

When markup is based on selling price, the cost is 100%.

Question 8

Selling price = cost ? markup.

Question 9

If the selling price and percent markup on selling price are given, the actual cost can be calculated.

Question 10

Gross profit plus operating expenses equals net income.

Question 11

Percent markup on selling price can be converted to percent markup on cost by a formula.

Question 12

When markups are based on cost, the selling price is 100%.

Question 13

Markup represents an amount needed to cover operating expenses.

Question 14

Actual cost is equal to the cost times the markup percent on cost plus 1.

Question 15

Gross profit is net sales minus the cost of bringing merchandise into the store.

Question 16

Selling price times 1 minus markup percent on selling price will equal the cost if markup is based on selling price.

Question 17

When markup is based on selling price, the cost is the base.

Question 18

Operating expenses are the unusual expense of doing business.

Question 19

A final selling price may be the result of a series of markdowns (and possibly some markups).

Question 20

Cost is equal to the selling price divided by (1 + markup percent on cost)when markup is based on cost.

Question 21

When markups are based on the selling price, the:

A)Selling price is the portion
B)Selling price is 100%
C)Selling price is cost - markup
D)Selling price is 100% + cost percent
E)None of these

Question 22

J.C. Penney sells a Timex watch for $139.99 that cost $89.97. J.C. Penney's percent of markup based on the selling price is:

A)35.56%
B)35.57%
C)35.73%
D)37.52%
E)None of these

Question 23

Markup is:

A)Selling price + cost
B)Selling price divided by cost
C)Selling price - cost
D)Selling price × (1 + cost)
E)None of these

Question 24

An Apple iPod sells for $299, which is marked up 40% of the selling price. The cost of the iPod is:

A)$197.40
B)$179.40
C)$149.70
D)$194.70
E)None of these

Question 25

The markdown percent is calculated by:

A)Amount of markdown divided by sale price
B)Amount of markdown divided by original selling price
C)Sale price divided by amount of markdown
D)Original selling price divided by amount of markdown
E)None of these

Question 26

Markdowns may be caused by:

A)Lack of seasonal changes
B)Lack of special promotions
C)Style changes
D)Decreased competition
E)None of these

Question 27

When markup is based on cost:

A)Cost is the portion
B)Markup is the rate
C)Cost is equal to selling price
D)Cost is 100%
E)None of these

Question 28

Breakeven point is fixed cost divided by contribution margin.

Question 29

Setting a price on perishable items does not include:

A)Calculating total cost
B)Calculating total selling price
C)Calculating a selling price per day
D)Determining number of units available for sale
E)None of these

Question 30

A computer sells for $995, which is marked up 35% of the selling price. The cost of the computer is:

A)$1,343.25
B)$1,433.52
C)$1,350.77
D)$1,530.77
E)None of these

Question 31

(1 + markup percent on cost)× cost equals:

A)Cost at wholesale
B)Cost at retail
C)Selling price
D)Markup
E)None of these

Question 32

Contribution margin is selling price plus unit cost.

Question 33

Bill's Furrier marks up mink coats $3,000. This represents a 50% markup on cost. What is the cost of the coats?

A)$1,500
B)$6,000
C)$4,500
D)$9,000
E)None of these

Question 34

Red Jeans Inc. sells jeans that cost $16.55 for a selling price of $35.99. The percent of markup based on cost is:

A)17.46%
B)94.44%
C)4.02%
D)7.07%
E)None of these

Question 35

Gap sells jeans that cost $21.00 and sell for $29.95. The percent of markup based on cost is:

A)42.62%
B)46.26%
C)49.88%
D)48.9%
E)None of these

Question 36

Net income is calculated as:

A)Net sales + costs - operating expenses
B)Net sales - costs - operating expenses
C)Net sales + costs + operating expenses
D)Net sales - costs + operating expenses
E)None of these

Question 37

If percent markup on cost and selling price are known, one is able to compute the:

A)Amount of markdown
B)Amount of spoilage
C)Cost
D)Selling price at wholesale
E)None of these

Question 38

Jay King, owner of a local Bed and Bath store, knows that his customers will pay at most $299 for an air mattress. Assuming Jay wants a 40% markup on the selling price, the most he could pay the manufacturer for the air mattress is:

A)$197.04
B)$179.04
C)$104.65
D)$179.40
E)None of these

Question 39

A local True Value Hardware Store marks its goods up 38% on cost. If a snow blower cost True Value $400, the selling price would be:

A)$525.00
B)$552.00
C)$542.00
D)$452.00
E)None of these

Question 40

To place a price on perishable items, there is no need to calculate the total cost as well as total selling price of the items.

Question 41

A local Dot Dress Shop is selling a suit for $99. Because of changing styles, the first markdown was 8% and second markdown was 25%. The suit still did not sell, so a final markdown of 10% was taken. The sale price is currently:

A)$68.31
B)$86.31
C)$61.84
D)$61.48
E)None of these

Question 42

Camille Keegan sells lamps for $105.55 that cost her $75.00. Camille's percent of markup based on the selling price is:

A)38.9%
B)28.94%
C)40.73%
D)40.37%
E)None of these

Question 43

Match the following terms with their definitions.

-Overhead

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 44

Contribution margin is:

A)Net sales
B)Revenues plus variable cost
C)Revenues minus variable cost
D)Revenues divided by fixed cost
E)None of these

Question 45

Mr. Small, the store manager for Jay's Appliance, is having a difficult time placing a selling price on a refrigerator that cost $410. Mr. Small knows his boss would like to have a 45% markup based on cost. The selling price should be:

A)$745.45
B)$754.54
C)$594.50
D)$549.50
E)None of these

Question 46

Straub's Bakery makes 200 Danish cakes that cost $2.70 each. Straub's needs a 66% markup on cost and normally discards 10% of what it makes. At what price should Straub's sell the Danish cakes?

A)$4.48
B)$4.98
C)$4.84
D)$4.89
E)None of these

Question 47

A video game sells at Arnolds for $14.99. Arnolds marks the game up at 40% of the selling price. The cost of the video game to Arnold is:

A)$6.00
B)$8.99
C)$6.50
D)$9.10
E)None of these

Question 48

Macy's Department Stores markup men's cologne 63% on cost for an 8-ounce bottle. A bottle of cologne costs Macy's $23.00. What is the selling price for the 8-ounce bottle?

A)$31.51
B)$37.49
C)$37.47
D)$37.00
E)None of these

Question 49

Ski Market sells snowboards. Ski Market knows that the most people will pay for the snowboards is $129.99. Ski Market is convinced that it needs a 45% markup based on cost. The most that Ski Market can pay to its supplier for the snowboards is:

A)$98.65
B)$96.65
C)$88.65
D)$87.65
E)None of these

Question 50

Jackie Smith, a customer of Roger Blank, will pay only $190 for a tennis racket. Assuming Roger works on a 60% markup on the selling price, the most Roger will pay the manufacturer is:

A)$76
B)$114
C)$67
D)$141
E)None of these

Question 51

Lester Co. produces toy kites. It has a fixed cost of $62,150. If the selling price per unit is $9.50 and the variable cost per unit is $6.25, the breakeven point is:

A)$9,207
B)6,542
C)22,600
D)29,860
E)None of these

Question 52

Johnny Mac's Sporting Goods bought a baseball glove from Rawlings Sporting Goods for $66.00. They want to markup the glove 70% on selling price. What should Johnny's sell the glove for?

A)$113.22
B)$179.82
C)$246.42
D)$220.00
E)None of these

Question 53

Kohl's sells watches that cost $6.95 for a selling price of $39.99. What is the percent markup on cost? (Round to the nearest tenth percent.)

A)17.4%
B)82.6%
C)575.9%
D)475.4%
E)None of these

Question 54

A wooden duck with a regular selling price of $125.99 is marked down to $79.99. The percent of markdown is:

A)57.51%
B)36.51%
C)35.61%
D)55.71%
E)None of these

Question 55

Fathers' Day suits were advertised for 35% off the regular price. A suit regularly sells for $210. The amount of the markdown is:

A)$37.50
B)$136.50
C)$73.50
D)$163.50
E)None of these

Question 56

An Apple iPad sells for $699.00 on eBay. The markup is 30% on cost. What is the total cost of the iPad sold on eBay?

A)$537.69
B)$489.30
C)$908.70
D)490.00
E)None of these

Question 57

At the end of the summer, Walgreens advertised blow-up pools for 66% off the regular price. Jeff Jones saw a pool with a regular price of $49.99. The dollar markdown is:

A)$39.29
B)$32.99
C)$33.99
D)$33.39
E)None of these

Question 58

Belle's Bake Shop makes croissants that cost $1.75 each. Past experience shows that 10% of the croissants will spoil and have to be discarded. Assuming Belle wants a 45% markup based on cost and produces 300 croissants, each croissant should sell for:

A)$2.28
B)$2.54
C)$2.45
D)$2.82
E)None of these

Question 59

Zale's bought a tea set for $1,400. Zale's wants to markup the set 55% of the selling price. The selling price of the tea set should be:

A)$2,030
B)$2,300
C)$3,111.11
D)$3,111.10
E)None of these

Question 60

A local Dunkin' Donuts makes blueberry muffins that cost $.69 each. Past experience shows that 15% of the muffins will spoil and have to be discarded. Assuming that this shop wants a 30% markup based on cost and produces 200 muffins, each muffin should sell for:

A)$0.90
B)$0.91
C)$1.50
D)$1.06
E)None of these

Question 61

Assume markup is based on selling price. Solve for the selling price (round to nearest cent):
25% markup on selling price
Actual cost $650
Selling price?

Question 62

Match the following terms with their definitions.

-Markdowns

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 63

Calculate the final selling price to the nearest cent (round each calculation to nearest cent as needed):
$$\begin{array} { | c | c | c | c | c | } \hline \begin{array} { c } \text { Original } \\\text { Selling Price }\end{array} & 1 \text { st Markdown } & \begin{array} { c } 2 \text { nd } \\\text { Markdown }\end{array} & \text { Markup } & \begin{array} { c } \text { Final } \\\text { Markdown }\end{array} \\\hline \$ 6,000 & 9 \% & 13 \% & 4 \% & 9 \% \\\hline\end{array}$$

Question 64

Match the following terms with their definitions.

-Dollar markdown

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 65

Sullivan's Handbags marks up its bags at 45% of the selling price. Pat Sullivan saw a bag at a trade show that she would sell to her customers for $85.00. What is the most she could pay for the bag and still retain the 45% markup of the selling price?

Question 66

Assume markup is based on cost. If the cost of a table is $62 and it sells for $110, what is the percent of markup based on cost? Round to the nearest hundredth percent.

Question 67

Match the following terms with their definitions.

-Percent markup on selling price

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 68

Match the following terms with their definitions.

-Net income

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 69

Assume markup is based on selling price. Complete:
$$\begin{array} { | c | c | c | c | } \hline \text { Selling Price } & \% \text { of Markup } & \begin{array} { c } \text { Dollar } \\\text { Markup }\end{array} & \text { Cost } \\\hline \$ 750 & 30 \% & \text { A } & \text { B } \\\hline\end{array}$$

Question 70

Assume markup is based on cost. Solve for the actual cost (round to nearest cent):
Selling price $600
Markup % on cost 35%
Actual cost?

Question 71

Match the following terms with their definitions.

-Contribution margin

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 72

Match the following terms with their definitions.

-Breakeven point

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 73

Match the following terms with their definitions.

-Dollar markup

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 74

Breck Hardware purchased from Black & Decker 10 Dustbusters for $24.95 each. What should Breck charge its customers for each Dustbuster if it has a 39.5% markup on cost? (Round to the nearest cent.)

Question 75

Convert a 40% markup percent on cost to markup percent on selling price. (Round to nearest hundredth percent.)

Question 76

Complete (round answers to nearest cent):
$$\begin{array} { | c | c | c | c | c | c | c | c | } \hline \text { Item } & \begin{array} { c } \text { Total Qty } \\\text { Bought }\end{array} & \begin{array} { c } \text { Unit } \\\text { Cost }\end{array} & \begin{array} { c } \text { Total } \\\text { Cost }\end{array} & \begin{array} { c } \text { Markup \% on } \\\text { Cost }\end{array} & \begin{array} { c } \text { Total } \\\text { Sales }\end{array} & \begin{array} { c } \% \text { That Will } \\\text { Spoil }\end{array} & \begin{array} { c } \text { Selling Price } \\\text { Per Unit }\end{array} \\\hline \text { Brownies } & 40 & \$ .70 & \mathrm {~A} & 40 \% & \mathrm {~B} & 10 \% & \mathrm { C } \\\hline\end{array}$$

Question 77

Match the following terms with their definitions.

-Perishables

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 78

Match the following terms with their definitions.

-Assume markup is based on cost. Complete:
$$\begin{array} { | c | c | c | c | } \hline \text { Cost } & \% \text { of Markup } & \begin{array} { c } \text { Amount of } \\\text { Markup }\end{array} & \text { Selling Price } \\\hline \$ 500 & 30 \% & \text { A } & \text { B } \\\hline\end{array}$$

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 79

Match the following terms with their definitions.

-Cost

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation

Question 80

Match the following terms with their definitions.

-Gross profit

A)No profit, no loss
B)Regular expenses of doing business
C)Dollar profit
D)Goods or services with a limited life
E)Price reductions
F)Price paid to supplier
G)Cost is base
H)Selling price is base
I)Original selling price minus current price
J)Selling price minus cost
K)Net sales - cost of goods sold
L)Difference between selling price and variable cost
Difficulty: 1 Easy
Topic: LU 08-01 Markups Based on Cost (100%); LU 08-02 Markups Based on Selling Price (100%); LU 08-03 Markdowns and Perishables; LU 08-04 Breakeven Analysis
Learning Objective: 08-01 (1)Calculate dollar markup and percent markup on cost.; 08-02 (1)Calculate dollar markup and percent markup on selling price.; 08-03 (1)Calculate markdowns; compare markdowns and markups.; 08-03 (2)Price perishable items to cover spoilage loss.; 08-04 (1)Calculate contribution margin.; 08-04 (2)Calculate breakeven point.
Bloom's: Remember
Type: Static
Accessibility: Keyboard Navigation