Reference no: EM132837201
Questions -
Q1) A distributor of batteries had a list price of $8,290 for ten automobile batteries that it sold to a wholesaler after a trade discount of 9%.
a. What was the net price of each battery?
b. What was the amount of discount offered for each battery?
Q2) An item is listed at $650 less 15%, 9%, and 4%.
a. What is the net price of the item?
b. What is the equivalent single trade discount rate of the given series of discounts?
c. What is the amount of discount offered?
Q3) The net price of an item after trade discounts of 38.00%, 12.00%, and 5.50% is $2,600.00.
a. Calculate the regular selling price of the goods.
b. Calculate the equivalent discount rate of the series of discount rates.
Q4) Giselle, a dentist, buys and sells specialized toothpaste in her office. She purchases the toothpaste at $2.40 per box, has overhead expenses of 25% on cost, and has operating profits of 30% on cost.
a. What is the selling price of each box of toothpaste?
b. What is the rate of markup on selling price?
Q5) A computer assembly firm purchases computer parts at $235 per computer. The operating expenses are 23% on cost and rate of markup is 53% on cost.
a. What is the selling price of each computer?
b. What is the operating profit per computer?
Q6) Sarah, a dentist, buys and sells specialized toothpaste in her office. She purchases the toothpaste at $2.25 per box, has operating expenses of 26% on cost, and has profits of 120% on cost. Calculate the following.
a. Desired profit per unit:
b. Amount of markup:
Q7) Rodney, the owner of Rodney's Gear, purchases jeans at $29 per pair from a distributor and sells them after a markup of 80.00% of the cost. During the summer, he offers a markdown of 25.00% for college students.
a. What is the regular selling price of each pair of jeans?
b. What is the discounted selling price of each pair of jeans?
Q8) Shirts were purchased for $14.50 each and were marked up by $18.75. During Christmas, they were discounted by $6.85 per shirt.
a. What is the rate of markdown?
b. What is the reduced selling price per shirt?
Q9) Standard Appliances obtains refrigerators for $1,450 less 25% and 6%. Standard's overhead is 19% of the selling price of $1,480. A scratched demonstrator unit from their floor display was cleared out for $1,160.
a. What is the regular rate of markup on cost?
b. What is the rate of markdown on the demonstrator unit?
c. What is the operating profit or loss on the demonstrator unit?
d. What is the rate of markup on cost that was actually realized?
Q10) A distributor purchased 700 golf sets at $500 each. The markup is 45% of the cost and overhead expense is 15% of the cost. It sold 35% of the sets at the regular selling price, 60% of the remaining sets at a discount of 25%, and the remaining sets at the cost price. Find the overall profit or loss on the sale of the golf sets.
Q11) A distributor purchases industrial fans for $154 each. Its profit is 10.00% on selling price and markup is 30.00% on selling price. During a trade show, if the distributor offers a markdown of 9.00% on its fans, calculate the reduced profit or loss made per fan.
Q12) Gabriella was in the business of purchasing sculptures from Brazil and selling them in Toronto at her boutique. On one consignment listed at $2,600, she received trade discounts of 9.00%, 6.00%, and 8.00%. The overhead expenses were 18.00% of her costs and she wanted to make a profit of 32.00% on cost.
a. What is the regular selling price of the sculptures?
b. Calculate the profit she will make if she decides to markdown the selling price by 15.00%.
c. Calculate the maximum rate of markdown that she can offer so that she breaks even on the sale.