BUSINES MATHEMATICS

Self -Learning Module 6– 2nd Semester (3rd Quarter) SY 2020-2021

Message for the learner:

This module is intended to help you learn the basics of Business Mathematics. It is hoped that this
will help you appreciate the reading contexts of the subject and will allow you to practice the lessons
presented. Likewise, this will provide a venue for you to utilize your mathematics skills, applied to
business-related subject you are currently taking in the SHS curriculum.

In the beginning of each lesson, you will find the topics to be discussed in this module. You will then
be asked to answer the pretest to assess how much do you know about the subject. There will be a
short review of your previous lessons related to the topic. Then, you will discover what the learning
episode is about. Once the concepts were presented, you will do self-check exercise that will lead to
an application task. Finally, you will be guided in managing your takeaways.

Please read this module ahead of the scheduled online classes and prepare questions on topics where
you encounter difficulties. Please feel free to send in your questions through our group chat or through
private message. All relevant questions will be discussed during online classes. Suggestions on how
we can improve our new normal classes are also welcome.

Please use the Answer sheets provided and send it back to me for checking and validation.

Enjoy learning the Basics of Business Mathematics!

Lesson Mark-up, Mark-on, Mark-down

s6

Content Standard: The learners demonstrate an understanding of the key concepts in buying and selling
Performance Standards: The learners are able to…
Analyze and solve problems on important factors in managing a business: buying products and selling products
Most Essential Learning competencies: The learner…
a. Differentiate Mark-on, Mark down and Mark-up
b. Obtain Mark-on, Mark-down, and Mark-up given price of a product.

Directions: Choose the letter of the best answer. Use a separate sheet of paper for your answers.

1. A merchant marked his good up by 60% and then offers a discount on the marked price. If the final selling price after
the discount results in the merchant making no profit or loss, what was the percentage discount offered by the
merchant?
 a. 60% b. 40% c. 37.5% d. Depends on cost

2. If a merchant offers a discount of 30% on the list price, then she makes a loss of 16%. What percent profit or percent
loss will she make if she sells at a discount of 10% of the list price? a. 6% b. 0.8% c. 6.25% d. 8%

3. What is the maximum percentage discount that a merchant can offer on her marked price so that she ends up selling at
no profit or loss, if she had initially marked her goods up to 50%?
a. 50% b. 33.33% c. 16.67% d. 25%

4. A school supplies store uses a 40% markup on cost. Find the cost of a ballpen that sells for ₱63.
a. ₱45 b. ₱50 c. ₱25 d. ₱65

5. An item originally priced at ₱55 is marked 25% off. What is the sale price? a. ₱45 b. ₱50.25 c.
₱41.25 d. ₱65

6. An item that regularly sells for 425 is marked down to 318.75. What is the discount rate? a. 50% b. 33% c. 67% d.
25%

7. An item is marked down 15%; the sale price is ₱127.46. What was the original price? a. ₱100 b. ₱65 c.
₱149.95 d. ₱100.25

8. A computer software retailer used a markup rate of 40%. Find the selling price of a computer game that cost
the retailer ₱1,050.
a. ₱420 b. ₱4,200 c. ₱430 d. ₱425

9. An item listed at ₱150 is subject to the discount series 20%, 10%, 5%. Determine the net price.
a. ₱120 b. ₱108 c. ₱102.60 d. ₱150

10. Lee Distributors bought a shipment of laptops at a net price of ₱477.36 each, after discounts of 15%, 10%,
and 4%. What is the list price?
a. ₱650 b. ₱500 c. ₱430 d. ₱525

11. A firm sells a product at ₱35 per unit. The variable cost for the product is ₱30 per unit and tis fixed cost is 70,000.
What quantity of the product should the firm sell in order to break even?
a. 1,500 units b. 21,000 units c. 12,000 units d. 14,000 units

12. A printing company bears a variable cost of ₱33 per unit and a fixed cost of ₱450,000. The number of books needed
to be break-even is 37,500 units. Find the selling price per unit of the book.
a. ₱45 b. ₱50 c. ₱25 d. ₱65

13. A firm sells a product at 45 per unit. The cost function for this product is 19,125. Find the quantity that the firm
needs to sell in order to break-even?
a. 420 units b. 410 units c. 400 units d. 425 units

14. A real estate agent sold a piece of property for ₱50,000. His commission is 7.5%. How much does he receive?
a. ₱3,000 b. ₱3,750 c. ₱2,000 d. ₱2,750

15. A salesman received ₱630 for selling a boat. His rate of commission was 5.25%. What was the selling price?
a. 13,000 b. ₱13,750 c. ₱12,000 d. ₱12,750

16. How much would you have to deposit at 4% in order to withdraw ₱819 at the end of 1 ear and 3 months?
a. ₱500 b. ₱650 c. ₱780 d. ₱700

17. Sarah earns a base salary of ₱350 every week with an additional 10% commission on everything she sells. If Sarah
sold ₱2,200 worth of items last week, what was her total pay? a. ₱570 b. ₱500 c. ₱430 d. ₱525
18. A class sold magazine subscription as a fund-raising event so they could g on a class trip. They earned 30%
commission on their total sales. If the class sold a total of ₱3,850 in magazine subscription, how much did the
class earn toward their trip?
a. ₱1,500 b. ₱1,155 c. ₱2,000 d. ₱2,750

19. Jim works at a store where he is paid a weekly salary of ₱1,250 plus 5.5% commission on his total sales. On a
particular week, Jim sold a total of ₱9,850. How much did Jim earn that week?
a. ₱1,171.50 b. ₱1,084 c. ₱1,791.75 d. ₱1,500

20. A salesman earns a monthly salary of ₱8,500 plus 9% commission on all sales above ₱60,000. On a particular
month, he had total sales of ₱118,750. How much did he earn in all that month?

a. ₱13,787.50 b. ₱13,500.25 c. ₱12,500 d. ₱13,750

Have you heard of Psychological Pricing?

Psychological pricing is one among the many pricing strategy. It utilizes specific techniques to form a psychological or
subconscious impact on consumers. It integrates sale tactics with price.

It can also be described as setting prices lower than a whole number. The idea behind it is that customers will read the
slightly lower price and treat it lower than the price actually is.

Deciding how much to charge for your product requires more thought than simply calculating your costs and adding a
mark-up. This lesson however, will focus only on the calculation of cost and adding of markup and mark-on or reducing
price through markdown in determining the selling price of the product.

To be able to determine the cost, the mark-up and the selling price of a product, it is important to recall the basic
formula in percents.
Percents has three values: the base (B), or whole, the rate (R) or percent and the part (P). For example, a school bag that
was originally ₱300 was reduced to ₱180. What was the percent of reduction?

In this problem, the base (B) is ₱300 (100%), the rate is missing (R) and the part (P) is ₱180 (What percent of 300?).
Lets try to see the relationship of the three variables in the illustration below:

Identifying rates:
20 is what percent of 80? = 20 ÷ 80 = 25%
(What percent of 80 is 20?)
Identifying bases:
40% of what number is 72? = 72 ÷ 0.40 = 180
Identifying amounts or the part:
What is 20% of 350? = 350 x 20% = 70
(20% of 350 is what?)

To Illustrate:

A computer software retailer used a markup rate of 40%. Find the selling price of a computer game that cost the
retailer ₱1,300.

Selling Price = Cost + Markup

= ₱1,300 + (₱1,300 x 40%) = ₱1,820
With the full knowledge of this process, you may now proceed with determining the Selling price, Cost price and the rate
of markup, mark-on and mark-down of a product or merchandise.

In order for a person in a business that sells merchandise make a profit, he or she must sell the merchandise at a price
higher that what he or she paid for it. The price that a merchant pays for an item is called the cost. The price that the
merchant sells the item for is called the selling price. The difference between the cost of the item and its selling price
is called the mark-up.

For example, suppose a merchant bought a wristwatch for ₱1,800 and sold it for ₱2,500. The markup ca be found by
using the formula MU = SP – C or ₱2,500 – 1,800. Hence, the markup is ₱700. Given any two of the three values –
cost, selling price or markup - the third value can be found by using one of the appropriate formulas.

The markup must also cover the expenses of the business in addition to making a profit for the business. Businesses
usually have certain methods that they use to determine the markup. There are two basic methods: markup based on the
cost of the item and markup based on the selling price of the item.
Mark up on Cost

When markup is a percent of the cost, the cost becomes the base or the 100%. Suppose an item had 40% markup on
cost; then the formula would be:

In other words, the selling price is 140% of the cost.

The markup is the part, the markup percent is the rate, and the cost is the base. Three additional formulas are used
in markup on cost problems. They can be explained using the circle. The cost is the base.

Remember to change the percent to a decimal or fraction before multiplying or dividing.

EXAMPLE 3.1
Find the markup and selling price on a branded-shoes that costs ₱3,500 if there is a 40% markup on cost.

EXAMPLE 3.2
If a web camera costs ₱900 and the selling price is ₱1,200, find the markup and the rate based on cost.

EXAMPLE 3.3
If the markup on a mini power speaker ₱330 and the markup rate is 30% on cost, find the cost and the selling
price of the mini power speaker.
Markup on Selling Price

Sometimes the markup is based on the selling price. This is often more convenient than determining the
markup on cost since the cash register records the transactions based on the selling price. Also, discounts and sales
commissions are based on the selling price of the item. When the markup is based on the selling price, the selling price
becomes the base or 100%; for example, if there is a 25%
markup on the selling price, the formula looks like this:

Selling Price = Cost + Markup

100% = 75% + 25%

The formula for markup on selling price problems

can be shown by the circle.

EXAMPLE 3.4
An air purifier sells for ₱7,500. If there is a 40% markup on the selling price, find the cost and the amount of
markup.

SOLUTION:
Find the amount of markup
Markup = Rate x Selling price or MU = R x SP
= 0.40 x ₱7,500
= ₱3,000

Find the cost.

Cost = Selling price – Markup or C = SP – MU
= ₱7,500 – ₱3,000
= ₱4,500

Hence, the markup amount is ₱3,000 and the cost is ₱4,500

EXAMPLE 3.5
If the markup on an Accounting book is ₱300 and the markup is 30% of the selling price, find the selling price
and the cost of the Accounting book.
SOLUTION:
Find the selling price.
 Selling price = Markup/Rate or SP = MU÷R
= ₱300÷0.30
= ₱1,000

Find the cost.

Cost = Selling Price – Markup or SP-MU

= ₱1,000 – ₱300
= ₱700
Hence, the cost is ₱700 and the selling price is ₱1,000

EXAMPLE 3.6
An oak jewelry chest costs ₱2,800 and has a markup of ₱800. Find the rate of the markup on the selling price.

SOLUTION:
Find the selling price.

Selling price = Cost + Markup or SP = C + MU

= ₱2,800 + ₱800
= ₱3,600

Find the rate based on the selling price.

Rate = Markup/Selling price or R = MU÷SP
= ₱800÷₱3,600
= 0.222 or 22.2%

Hence, the selling price is ₱3,600 and markup rate bases on selling price is

22.2%Relationships Between the Markups

If you know the markup rate on cost, you can find the corresponding markup on selling price and vice versa. The markup
rate on the selling price will always be less than the markup rate on the cost. If you are given the markup rate on the cost
and want to find the markup rate on selling price, follow these steps:

Step 1. Convert the rate to a decimal

Step 2. Substitute the formula:

Markup rate on selling price = Markup rate on cost ÷Markup rate on cost
Step 3. Convert the answer to a percent (i.e., multiply by 100).

EXAMPLE:
If the markup rate on the cost is 15%, find the equivalent markup rate on the selling price.
SOLUTION:
Markup rate on selling price = Markup rate on cost ÷ 1+ Markup rate on cost
= 0.15 ÷ (1+0.15)
= 0.130 (ROUNDED) 13%
Hence, a markup rate of 15% on cost is approximately equal to a 13% markup on
the selling price.

If you are given the markup rate on the selling price, you can find the equivalent markup rate on cost by following these
steps:

Step 1. Convert the rate to a decimal

Step 2. Substitute the formula:

Markup on cost = Markup rate on selling price ÷ 1-mark up rate on selling price Step 3. Convert
the answer to percent.

EXAMPLE:
If the markup rate on the selling price is 20%, find the equivalent markup rate on the cost.

SOLUTION:
Markup rate on cost = Markup rate on selling price÷1 - Markup rate on selling price = 0.20 ÷ (1- 0.20)
= 0.25 or 25%
Hence, a markup of 20% on the selling price is equivalent to a 25% markup rate on cost. This can be verified
by considering an item that sells for 4,000. A markup of 20% on the selling price.

Markup on Selling price = 20% x ₱4,000 = ₱800

Markup on Cost = 25% x (₱4,000-₱800) = ₱800

Notice that the markup amount of ₱800 is the same in both cases.

EXAMPLE 3.7
If the selling price of an item is ₱6,000 and the markup rate on cost is 40%, find the markup amount.

SOLUTION:
Since you are given the selling price, it is necessary to convert the markup rate on the
cost to the markup rate on the selling price and then find the markup rate.

Markup rate on selling price = Markup rate on cost ÷ 1+Markup rate on cost
= 0.40 ÷ 1.40
= 0.286 (rounded) 28.6%
Markup = Rate x Selling price or MU = R x SP
= 0.286 x ₱6,000
= ₱1,716
Hence, the markup amount is ₱1,716
EXAMPLE 3.8
The cost of the item is ₱2,000. If there is a 50% markup on the selling price, find the amount of markup.

SOLUTION
Since you are given the cost and the markup rate on the selling price, it is necessary to
convert the markup rate on the selling price to a markup rate on cost and then find the markup
amount.

Markup on cost = Markup rate on selling price ÷ 1 - Markup rate on Selling price =
0.050 ÷ (1 – 0.50)
= 1 or 100%

Markup = Rate x Cost or MU = R x C

= 100% x ₱2,000
= ₱2,000
Hence, the markup is ₱2,000
Markdown and Shrinkage

Most retail businesses at one time or another, have sales. Here, the sale price of the merchandise is reduced in order to
get rid of it. There are many reasons for reducing the price. For example, summer clothes prices are reduced when “Ber”
months come. After Christmas, decorations are reduced so that the store will not have to store them or reduce their
inventory.

When the selling price of an item is reduced, it is called a markdown. All markdowns are calculated using the selling
price as the base. The markdown amount is subtracted from the selling price to find the reduced price.

EXAMPLE
A gas grill selling for ₱5,500 is reduced by 30% in the rainy season. Find the reduced price.

SOLUTION:
Find the markdown amount.
Markdown = Rate x Selling Price
= 0.30 x ₱5,500
= ₱1,650

Find the reduced price.

Reduced price = Selling price – Markdown
= ₱5,500 – ₱1,650
= ₱3,850
Hence, the reduced price or sale price is ₱3,850

Sometimes items are marked down for a sale and then the unsold items are marked up after the sale. This could occur
several times during the year. This is known as a series of markups and markdowns. The first markups could e based on
the cost or the selling price of the item. The remaining markdowns and markups use the previous selling price as the base.
EXAMPLE:
An aluminum ladder was purchased for ₱2,000 and marked up 60% on cost. For a summer sale, it was marked down
25%. After the sale, it was marked up 30%. On September 1. It was marked down 20%. Find the final selling price.

SOLUTION:
Find the first markup Markup = Rate x Cost
= 0.60 x ₱2,000
= ₱1,200
Selling Price = Cost + Markup
= ₱2,000 + ₱1,200
= ₱3,200
Find the first markdown Markdown = Rate x Selling Price
= 0.25 x ₱3,200
= ₱800
Reduced Price = ₱3,200 – ₱800
= ₱2,400
Find the second markup Markup = Rate x Reduced Price
= 0.30 x ₱2,400
= ₱720
Selling Price = Reduced Price + Markup
= ₱2,400 + ₱720
= ₱3,120
Markdown = Rate x Selling price
= 0.20 x ₱3,120
= ₱624
Reduced Price = Selling Price – Markdown
 = ₱3,120 – ₱624
= ₱2,496
The final selling price is ₱2,496

Many times, business persons must contend with what is called shrinkage. Shrinkage is generally thought of as the loss
of goods before they can be sold. Merchants can lose goods before they are sold by passage of time. For example,
produce sellers might not be able to sell all fruits they buy before it spoils. Florist know that cut flowers have a limited
lifetime. These types of items are called perishable.

Other times, merchants lose merchandise through shoplifting or breakage. Many times, items in jars are broken by
customers. In order to maintain the profit margin, the retailer must raise the selling price of items to cover for these kinds
of losses. In order to account for shrinkage, the adjusted selling price can be found by following these steps:

Step 1. Find the total of the sales by multiplying the total number of items purchased by the selling price of each
item.
Step 2. Find the number of items left to sell after shrinkage has been taken into account. Step 3. Divide the total
of the sales by the number of items left to sell.

EXAMPLE:
The owner of a toy store purchase 50 superhero models to sell at ₱750 each. The owner knows from the past
experience that about 6% of the items will be broken by children playing with them in the store before they can be sold.
Find the adjusted selling price to account for shrinkage.
SOLUTION
Step 1. Find the total of the sales. Total = 50 x ₱750
= ₱37,500
Step 2. Find the number of items left to sell after the shrinkage.
Since 6% are broken, 100% - 6% = 94% of the items will be left for sale.
Number = 0.94 x 50 = 47 items
Step 3. Find the adjusted selling price.
Adjusted selling price = Total sales ÷ Number
= ₱37,500 ÷ 47 = ₱797.87
Hence, the owner must sell the item for ₱797.87 each to account for shrinkage and to maintain the
markup on the original number of items.

EXAMPLE 3.9
A florist purchase 200 red roses to sell at ₱100 each. From past experience, she knows that about 12% will wilt before
they can be sold. Find the adjusted selling price to account for shrinkage.

SOLUTION
Step 1. Find the total of the sales. Total = 200 x ₱100 = ₱20,000
Step 2. Find the number of items left for sale. (100% - 12%) x 200 = 176
Step 3. Find the adjusted selling price.
Total Sales ÷ Number = ₱20,000 ÷ 176 = ₱113.64 (rounded)
Hence, the adjusted selling price would be ₱113.64.

To further understand the lesson, you may also click the following link.
https://www.slideshare.net/nazrin91/chapter-6-31397772

Activity 1
State the following:
When markup is based on cost, how do you find the following:
1. Markup
2. Rate of markup
3. Cost.
When markup is based on selling price, how do you find the following:
4. Markup
5. Rate of Markup
6. Cost
How do you find:
7. The markup rate based on cost if the markup based on selling price is given. 8. The markup rate based on selling price
if the markup based on cost is given. 9. The important elements in finding the selling price when shrinkage is taken into
account are: 10. ___________________________________
11. ___________________________________

Fill in the blanks.

Fill in the blanks.

1. The price that a merchant pays for an item is called the _____________. 2. The price that the merchant sells the item
for is called the __________________. 3. The difference between the cost of the item and its selling price is called the
______. 4. The markup rate on the selling price will always be ____________ the markup rate on the cost. 5. When
markup is a percent of the cost, the _________ becomes the base or the 100%. 6. When the selling price of an item is
reduced, it is called a ______________. 7. All markdowns are calculated using the _______________ as the base. 8. It is
the loss of goods before they can be sold. ____________________.
9. After the loss due to shrinkage is taken into consideration, the new selling price is called
______________________.
10. The reason for the adjusted selling price when shrinkage is taken into account is to maintain the
___________________ of the merchant.

Solve the following. Show your solution in good form.

1. A golf shop pays its wholesaler ₱2,000 for a certain club, and then sells it to a golfer for ₱3,750.
a. What is the markup rate based on cost?
b. What is the markup rate based on selling price?

2. A shoe store uses a 40% markup on cost. Find the cost of a pair of shoes that sells for ₱3,150. 3. An item originally
priced at 2,750 is marked 25% off. What is the sale price? 4. An item that regularly sells for ₱21,250 is marked down to
₱15,937.50. What is the discount rate?
5. An item is marked down 15%; the sale price is ₱6,375. What was the original price? 6. If a heavy- duty stapler costs
₱1,600, and there is a 25% markup on cost. Find the amount of the markup and the selling price.
7. A scientific calculator costs ₱2,600 and sells for ₱4,108, find the markup rate based on cost. 8. If the markup on a set
of a two-way radios is ₱1,500 and the markup rate on cost is 48%. Find the cost and the selling price of the two-way
radios.
9. A diamond ring sells for ₱40,000. If there is a 70% markup on the selling price, find the cost and the amount of
markup.
10. A blender sells for ₱2,500 and cost ₱1,600. Find the markup rate on the selling price. 11. If the markup on a pair of
sports shoes is 540 and the markup rate is 60% on the selling price, find the selling price and the cost of the shoes
12. Find the markup rate on the selling price of an item that is equivalent to a 10% markup on cost.
13. Find the markup rate on cost of an item that is equivalent to 33% markup on the selling price.
14. A lamp sells for ₱5,000. If the markup on the cost is 48%, find the cost and the amount of the markup.
15. A party supply store bought 500 balloons to sell at ₱30. The owner knows that approximately 8% will break on
inflation. Find the adjusted selling price if the store owner wishes to account for the shrinkage.

Directions: Choose the letter of the best answer. Use a separate sheet of paper for your answers.

D 1. If the cost of a briefcase is ₱4,000 and the markup rate on cost is 60%, the markup amount is:

a. ₱1,200 b. ₱1,500 c. ₱1,600 d. ₱2,400

B 2. If the cost of a calendar is ₱250 and the selling price is ₱600, the markup rate on the cost is:

a. 1.4% b. 140% c. 5.8% d. 58%

A 3. If the markup rate on the cost of an overhead projector is 48% and the markup is ₱5,760, the cost is
a. ₱12,000 b. ₱17,760 c. ₱15,000 c. ₱17,000

B 4. A gold pendant sells for ₱9,000. If there is a 45% markup on the selling price, the markup amount is.
a. ₱4,950 b. ₱4,050 c. ₱6,200 d. ₱4,280

5. If there is a 40% markup on the selling price and the markup is ₱16,000, the selling price is.

a. ₱24,000b. ₱6,400 c. ₱40,000 d. ₱9,600

6. A standard metal file cabinet sells for ₱8,000 and has a markup of ₱2,000. The markup rate on the selling price is
a. 25% b. 0.25% c. 2.5% d. 250%

7. A microwave oven sells for ₱2,500 and the markup is ₱1,500, the markup rate on cost is a. 7.5% b. 0.75% c.
75% d. 750%

8. A laminator sells for ₱3,000. It is marked down 30%. The reduced price is. a. ₱900 b. ₱1,800
c. ₱2,100 d. ₱2,000

9. An item cost ₱1,000. It is marked up 80% on the cost. After sometime, it is reduced 40%. It was again marked up
50%. The final selling price is.
a. ₱720 b. ₱1,080 c. ₱1,620 d. ₱1,800

10. A coffee and doughnut shop makes ₱600 doughnuts a day. They sell for ₱25 each. About 12% are not sold each day
and are discarded. The adjusted sale price is.
a. ₱26 b. ₱27 c. ₱28 d. ₱30

11. If a laser printer costs ₱20,000 and there is a 48% markup on cost, find the amount of the markup and the selling
price.
a. MU ₱29,600, SP₱9,600 c. MU₱9,600, SP₱29,600
b. MU ₱6,000, SP₱25,000 d. MU ₱25,000, SP ₱6,000

12. If a shredder costs 9,000 and sells for 12,500, find the markup rate based on cost. a. 28% b. 2.8% c.
3.9% d. 39%
13. If a notebook computer has a markup of ₱15,000 and the markup rate is 60% on cost, find the cost and selling
price of the computer.
a. Cost ₱16,000 SP ₱24,000 c. Cost ₱16,000 SP ₱40,000
b. Cost ₱25,000 SP ₱40,000 d. Cost ₱16,000 SP ₱25,000

14. A self-cleaning oven sells for 32,500 and there is a 45% markup on the selling price, find the amount of the markup
and cost.
a. Cost ₱17,875 MU ₱14,625 c. Cost ₱14,625 MU ₱17875
b. Cost ₱22,414 MU ₱10,086 c. Cost ₱10,086 MU ₱22,414

15. A cellphone sells for ₱12,500 and costs ₱8,000. Find the markup rate on selling price. a. 56.25% c.
0.5625%
b. 36% d. 3.6%

16. A digital camera costing ₱7,500 was marked up 60% on the cost. For a July sale, it was reduced 25%. After the
sale, it was marked up 50%. In September, it was reduced by 20%. find the final selling price.
a. ₱12,000 b. ₱9,000 c. ₱18,000 d. ₱14,400

17. A grocery store sells homemade pizzas for ₱270 each. Each day, 20 are made. The manager knows that 10% of
these pizzas might not sell. Find the adjusted selling price to account for shrinkage.
a. ₱280 b. ₱290 c. ₱300 d. ₱310

18. A photographer sells 8 x 10 portraits for ₱2,847.50. The actual cost to print each portrait is ₱600. Find the
percent of markup base on cost.
a. 37.5% b. 374.6% c. 78.9% d. 21.1%

19. Find the cost if the selling price of the new wrist watch is ₱947.50 and the percent of markup based on the selling
price is 60%
a. ₱586.50 b. ₱568.50 c. ₱379 d. ₱392.50

20. A sound system is marked up 60% based on selling price. What is the rate of markup based on cost?
a. 40% b. 20% c. 130% d. 150%

References
Business Mathematics by Precilla Allares, Rosalia Arao, Ma. Teresa Arce, Dolora Bugtong et.al. Business Math
textbook / teachers manual – DepEd
Business Math Demystified by Allan G. Bluman – Mc GrawHill
https://www.accountingtools.com/articles/2017/5/16/psychological-pricing
https://www.purplemath.com/modules/percntof2.htm. Accessed 20 August 2020

PREPARED BY
CONSTANCIA V. LAXAMANA, CPA, LPT