Let's break down the problem and find both the markdown amount and the rate of markdown.

Step 1: Calculate the markdown

The markdown is simply the difference between the original price and the reduced price.

$\text{Markdown} = \text{Original Price} - \text{Reduced Price}$

Given:

• Original price = $38
• Reduced price = $27

$\text{Markdown} = 38 - 27 = 11$

Thus, the markdown amount is $11.

Step 2: Calculate the rate of markdown

The rate of markdown is the percentage decrease relative to the original price. It can be calculated using the formula:

$\text{Rate of Markdown} = \left( \frac{\text{Markdown}}{\text{Original Price}} \right) \times 100$

Substitute the values:

$\text{Rate of Markdown} = \left( \frac{11}{38} \right) \times 100 \approx 28.95\%$

Final Answer:

• The markdown amount is $11.
• The rate of markdown is approximately 28.95%.

Would you like any more details on this problem?

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Here are 5 related questions for practice:

1. If another item originally priced at $50 is reduced to $35, what is the markdown and rate of markdown?
2. A shirt originally priced at $60 is now sold for $48. What is the rate of markdown?
3. If a markdown of 20% was applied to a $100 jacket, what is the new price of the jacket?
4. How much would an item originally costing $75 be reduced if the markdown rate is 30%?
5. A store applies a $15 markdown on an item originally priced at $45. What is the rate of markdown?

Tip: When calculating percentages, always divide the change by the original value and then multiply by 100 to express it as a percentage.