Given: Cost = $55.41, Markup = 14%
Markup as a Decimal: 14% = 0.14
Formula:
Selling Price = Cost * (1 + Markup as a Decimal)
Selling Price = $55.41 * (1 + 0.14)
Selling Price = $55.41 * 1.14
Selling Price = $63.17
Notes:
Markup Amount = Selling Price – Cost = $63.17 – $55.41 = $7.76
Profit = Markup Amount = $7.76
Profit Margin =
Markup as a Decimal: 14% = 0.14
Formula:
Selling Price = Cost * (1 + Markup as a Decimal)
Selling Price = $55.41 * (1 + 0.14)
Selling Price = $55.41 * 1.14
Selling Price = $63.17
Notes:
Markup Amount = Selling Price – Cost = $63.17 – $55.41 = $7.76
Profit = Markup Amount = $7.76
Profit Margin =
Profit/
Selling Price
=
$7.76/
$63.17
= 0.1228 = 12.28%