Exam 6: Trade Discounts, cash Discounts, markup, and Markdown

Duckworth's Bird Supplies purchased sets of cages for $160.00 less 9%,14%.Expenses are 17% of the regular selling price and the required profit is 55% of the regular selling price.The store decided to change the regular selling price so that it could offer a 25% discount without affecting its margin.During the Christmas season,the unsold sets were advertised at a discount of 25%.What operating profit or loss was realized on the sets sold during the Christmas season?

A bed and bedding store sold a futon regularly priced for $330.00 for $240.00.The futon was originally purchased for $200.00 less 60%.The store's overhead is 25% of the regular selling price. a)Calculate the rate of markdown at which the futon was sold. b)Calculate the operating profit or loss at the sale price.

A bicycle at Janice's sport shop,costing $108.50 was marked up to reflect 40% of the cost price.Calculate the selling price.

What amount must be paid to settle an invoice of $1200.00 dated November 28,terms 3/10,n/30 if the invoice is paid on December 3?

Determine the equivalent single rate of discount for each of the following series of discounts. a)18 %,10.0% b)50%,33 %,5.0%

Home System Alarms buys wireless alarm systems for $4000.00 less 30%,10%.Expenses are 25% of the regular selling price and the required profit is 20% of the regular selling price.All merchandise is marked with a new regular selling price so that the store can advertise a discount of 40% while still maintaining its regular markup.During the annual clearance sale,the new regular selling price of unsold items is marked down 25%.What operating profit or loss does the store make on items sold during the sale?

At Lowe's,each contractor receives 5% discount for his purchases.A contractor building a deck for a customer pays $7144.89 for the material he bought.What is the list price of the material?

A fierce price war has broken-out over gas.Super-Save offered pre-price war gas at 73.9 cents per litre with 5% Super-Save discount.Cooperative gas was 75.9 cents per litre and they offered a 3%,10% discount.What additional discount must Super-Save offer to beat their competitor's price by 2%?

Deep Discount Audio buys home theatre systems for $3 895 less 29%,15%.Expenses are 30% of the regular selling price and the required profit is 41% of the regular selling price.All merchandise is marked with a new regular selling price so that the store can advertise a discount of 35% while still maintaining its regular markup.During the annual clearance sale,the new regular selling price of unsold items is marked down 40%.What operating profit or loss does the store make on items sold during the sale?

Sheldan Services sells oil at a markup of 46% of the selling price.If Sheldan paid $1.99 per litre of oil, a)what is the selling price per litre? b)what is the rate of markup based on cost?

A dollar store bought 1000 pair of socks auctioned off en bloc for $2000.00.This means that each pair of socks has the same cost.On inspection,the socks were classified as normal quality,seconds,and substandard.The 600 normal quality socks were sold at a markup of 90% of cost,the 300 pair of socks classified as seconds were sold at a markup of 30% of cost,and the socks classified as substandard were sold at 60% of their cost.What was the unit price at which each of the three classifications was sold?

The net price of a tennis racket is $79.99.What is the list price if a discount of 35% was allowed?

A wine merchant buys a case of wine for a listed price of $144.00 less 27% from a wine distributor.Overhead is 37% of cost and profit is 51% of cost.For how much should the item be retailed?

Lumber King sells 2x4 studs for $3.15 each less 15%.Its competitors across town offer the same stud for $3.55 less 22%,18%.What additional rate of discount must Lumber King offer to meet the competitor's price?

For Your Eyes Only Company bought plasma screen TV sets for $11 585 less 4.5%,3.2%.Overhead is 19% of regular selling price and required profit is 31% of regular selling price.The gas plasma TV sets were marked at a new regular selling price so that the store was able to advertise a discount of 10% while still maintaining its margin.To clear the inventory,the remaining TV sets were marked down 15%. What operating profit or loss is realized at the clearance price?

Determine the equivalent single rate of discount for each of the following series of discounts. a)18 %,4.5% b)36%,7 %,1.5%

United Furniture purchased RF42 model refrigerators from Samsung for $2751 each in 2012.The store marked up the price by 30% of the regular selling price.The store's overheads were estimated to be 10% of the regular selling price of each refrigerator in 2012.Following Christmas,Samsung introduced a new model.In order to make space for the new model,United Furniture decided to sell the RF42 model refrigerators at a markdown which results into a break-even.Calculate the markdown.

What is the regular selling price of an item that cost $1345.00 if the markup is 27% of the regular selling price?

A retail store realizes a gross profit of $62.67 if it sells an article at a margin of 32% of the selling price. a)What is the regular selling price? b)What is the cost? c)What is the rate of markup based on cost? d)If overhead is 21% of cost,what is the break-even price? e)If the article is sold at a markdown of 25%,what is the operating profit or loss?

Kalotyre retails its Bridgestone tires at $141.67 each.They purchase the tires from the factory for $103.11 each.Overhead expenses are 20% of the selling price.Determine the operating profit per tire.