Leon's bought chairs for $180 less 30% and 20%. The store's overhead is 40% of the selling price and the net profit is 30% of the selling price. (a) What is the regular selling price of the chairs? (b) At what price can the chairs be put on sale so that the store breaks-even?

Leon's bought chairs for $180 less 30% and 20%. The store's overhead is 40% of the selling price and the net profit is 30% of the selling price. (a) What is the regular selling price of the chairs? (b) At what price can the chairs be put on sale so that the store breaks-even?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Leon's bought chairs for $180 less 30% and 20%. The store's overhead is 40% of the selling
price and the net profit is 30% of the selling price.
(a) What is the regular selling price of the chairs?
(b) At what price can the chairs be put on sale so that the store breaks-even?

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