Question

The buyer purchased 48 lounge pants to be priced at $39. There were already 10 pair of lounge pants in stock but they were repriced from $34 to $39 for consistency. All of the lounge pants sold. (a) What was the additional markup percent earned on the lounge pants already in inventory? (b) What was the total net sales on all pants during the event?

Answer 1

Solution

Question A:

- The lounge pants already in stock are 10.

- The price of the pants was moved from $34 to $39. Thus, the markup percent is:

$\begin{gathered} \frac{39-34}{34}\times100\% \\ \\ =\frac{5}{34}\times100\% \\ \\ =14.70588\% \end{gathered}$