Bell work Week 28 Cost - The price retailers pay to a manufacturer Selling Price - The price retailers charge customers Markup, margin, or gross profit - The difference between the cost of bringing the goods into the store and the selling price Operating expenses or overhead - The regular expenses of doing business such as rent, wages, utilities, etc. Net profit or net income - The profit remaining after subtracting the cost of bringing the goods into the store and the operating expenses

Title of notes: Markup and Discount

Copy these Steps: Finding Markups Finding Discounts Step 1: Find the amount of the markup (the percent) Step 2: Turn the percent into a decimal and Multiply it by the original price Step 3: Add the markup amount to the original price. Finding Discounts Step 1: Find the amount of the discount (the percent) Step 2:Turn the percent into a decimal and Multiply it by the original price Step 3: Subtract the discount amount to the original price.

Markup and Discount Markup and Discount are like tax, commission, and tip questions. You can… Change the percent to a decimal and multiply. Write an equation to find the missing percent. Write a proportion like percent problems

Basic Selling Price Formula Selling price (S) = Cost (C) + Markup (M) $1,200 Computer $900 - Price paid to bring computer into store $300 - Dollars to cover expenses and profit

Markup vs. Discount Markup A retail store buys items at wholesale prices. To cover expenses and make a profit, the sells items at higher retail prices. The extra amount is called the markup. Discount When an item is on sale, the store is selling the item for less, so this is called discount.

Discount Ex1: You buy a pair of jeans that is 30% off the original price of $29. What is the sale price of an item? Find the amount of the discount: 30% of $29 0.3 x 29 8.7 Subtract the discount from the original price 29- 8.70 = $20.30

Markup Ex: 2 A store that sells skateboards buys them from a manufacturer at a wholesale price of $57. The store’s markup is 150% . What is the retail price? Find the amount of the markup( Percent) and turn into decimal. Markup = 150% of $57 1.50 x 57 85.50 Add the markup amount to the original price $142.50 57.00 + 85.50=

Markup Ex: 3 Finding the amount of markup. A store buys a shirt at a wholesale price of $13.50 and sells the shirt for $24.95. How much was it marked up? Finding the percent of markup. What is the percent of markup for the shirt in the first problem? $11.45 is what percent of $13.50? $24.95- $13.50= $11.45 84.8% or 85%

Discount Find the amount of discount A $36 book is on sale for $27. What is the amount of discount? Find the percent of discount What is the percent of discount for the book in the problem before? $9.00 25%