dorendajohnsonox5c3p dorendajohnsonox5c3p
  • 01-10-2017
  • Mathematics
contestada

If the unit selling price is 2.50 and the unit cost is 1.00 what action is needed to maintain the gross margin percentage when unit cost increase 0.25

Respuesta :

musiclover10045
musiclover10045 musiclover10045
  • 01-10-2017

The original gross margin is (2.50 / 1.00) - 1 = (2.5 - 1) = 1.5  =  150%

the cost increases 0.25, is an increase of (0.25 / 1.00) = 25%

  in order to keep the same gross margin, you need to increase the sale price by 25%

2.50*1.25 = 3.125

Then the gross margin is (3.125 / 1.25) - 1 = (2.5 - 1) = 1.5 = 150% ( same as original )

Answer Link

Otras preguntas

Which two statements best describe the role of lymph in the human body? It transports nutrients in the body. It produces hormones in the body. It synthesizes an
How did the southern states become apart of the u.s again?
Introduction to addition or subraction of fractions with different denominator 2/3+1/4
In which biome would you find the main types of plant life to be grasses and no wood plants A. Desert B. Savanna C. Tundra D. Mountains
busses run every 9 minutes starting at 6:00 am. you get to the bus stop at 7:16 am. how long will you wait for the bus
The ad shown above is from a Virginia newspaper of the 1730s. What does this ad reveal about the brutality of the slave system?
Which sentence is grammatically correct
What is the lowest fraction of 0.875cm
What does franklin admit has caused him to change his mind in the past?
what factor affects sensation?