Math Problem Statement
The wholesale cost of a birdcage is $55. The original markup was 44% based on selling price. Find the final sale price (in $) after the following series of price changes: a markdown of 18% and a markup of 11%. (Round each intermediate selling price to the nearest cent.)
Solution
We are tasked with finding the final sale price of a birdcage, given a series of price changes. Here's the step-by-step approach:
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Step 1: Calculate the original selling price (before price changes)
The wholesale cost of the birdcage is $55, and the original markup is 44% based on the selling price. Let represent the original selling price.The formula for markup based on selling price is: Solving for : So, the original selling price is .
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Step 2: Apply an 18% markdown
The birdcage is marked down by 18%, so the new price after the markdown is calculated as: After rounding, the price after the markdown is . -
Step 3: Apply an 11% markup
Now, we apply an 11% markup to the new price. The price after the markup is calculated as: After rounding, the final selling price is .
Final Sale Price:
The final sale price after the series of price changes is $89.39.
Would you like more details or have any questions?
Here are 5 related questions you might want to consider:
- How does the original markup calculation differ when based on cost instead of selling price?
- What happens if the markdown is greater than the markup?
- How can you apply these concepts to pricing strategies in retail?
- How would the problem change if intermediate rounding wasn’t allowed?
- How does inflation or deflation impact pricing strategies like this?
Tip: Always double-check the base you're using for percentage calculations (selling price vs. cost). It changes the markup or markdown amounts significantly!
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Math Problem Analysis
Mathematical Concepts
Markup and Markdown
Percentage Calculations
Algebra
Formulas
Wholesale cost = Selling price - Markup
New price after markdown = Original price × (1 - Markdown percentage)
New price after markup = Price after markdown × (1 + Markup percentage)
Theorems
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Suitable Grade Level
Grades 9-12
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