I need some help with a math problem

October 18, 2017, 02:17 PM

cost = 1X
markup = 120% = 1.2x
retail = cost+markup = 1x+1.2x = 2.2x
sale price = (2.2x)*.8
clearance = (2.2x*.8)*.7
out the door = ((2.2x*.8)*.7)*.9 = 1.1088X =
10.88%

fun problem

July 06, 2018, 01:39 AM

Rey HRH

quote:
Originally posted by 4x5:
My daughter was given this problem in her homework, and we're having a hard time figuring it out. Hopefully, someone here can help.

A shoe store marks up the price of it's shoes 120% over cost. A pair of shoes goes on sale for 20% off, and then goes on the clearance rack for an additional 30% off. A customer walks in with a 10% off coupon good on all clearance items, and buys the shoes. Express the store's profit on these shoes as a percentage of the original cost.

The bolded part is where most people get messed up.

Price = Mark up + Cost = (120% * Cost) + (100% * Cost) = 220% * Cost

To figure the price paid after all the discounts:

Actual Sale Price = Cost * 2.20 * 0.80 * 0.70 * 0.90 = 1.1088 * Cost

Profit = Actual Sale Price - Cost = (1.1088 * Cost) - Cost = (1.1088 - 1) * Cost = 0.1088 * Cost = 10.88% * Cost.

"It did not really matter what we expected from life, but rather what life expected from us. We needed to stop asking about the meaning of life, and instead to think of ourselves as those who were being questioned by life – daily and hourly. Our answer must consist not in talk and meditation, but in right action and in right conduct. Life ultimately means taking the responsibility to find the right answer to its problems and to fulfill the tasks which it constantly sets for each individual." Viktor Frankl, Man's Search for Meaning, 1946.

July 06, 2018, 03:41 PM

WOW, an October 2017 thread pops to the top.... How did that happen?

July 06, 2018, 05:22 PM

V-Tail

July 06, 2018, 05:41 PM

BigWhup

60% profit

July 06, 2018, 09:25 PM

ggile

quote:
Originally posted by BigWhup:
60% profit

That's what I came up with....60.48 to be exact.

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July 06, 2018, 10:05 PM

flashguy

Please show your computations to get that figure. Competent math has been given to show the Profit was 10.88% (based on one interpretation of the problem--the other interpretation gave a loss).

flashguy