Given:
Wholesale price = $5
They sell them after a markup of 75%.
To find:
The amount of mark up and the retail price.
Solution:
We have,
Wholesale price = $5
Markup% = 75%
[tex]Markup=5\times \dfrac{75}{100}[/tex]
[tex]Markup=5\times 0.75[/tex]
[tex]Markup=3.75[/tex]
Now,
Retail price = Wholesale price + Markup
[tex]\text{Retail price}=5+3.75[/tex]
[tex]\text{Retail price}=8.75[/tex]
Therefore, the markup price is $3.75 and retail price is $8.75.
