Company A sets price equal to cost plus 60%. Recently, Company A charged a customer a price of $42 for an item. What was the cost of the item to Company A? a. $26.25 b. $42 c. $25.20 d. $67.20 e. $40.32
Company A sets price equal to cost plus 60%. Recently, Company A charged a customer a price of $42 for an item. What was the cost of the item to Company A? a. $26.25 b. $42 c. $25.20 d. $67.20 e. $40.32
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Company A sets price equal to cost plus 60%. Recently, Company A charged a
customer a price of $42 for an item. What was the cost of the item to Company
A?
a. $26.25 b. $42 c. $25.20
d. $67.20
e. $40.32
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