Mary owns a flower shop in Dangwa. She knows that a lot of male customers will buy roses few days before Valentine's day. A bouquet of roses costs P150.00 and sold at P220.00 on regular days. On Valentine's day, the rate of markup based on the selling price of the bouquet is 10%. Mary knows that evenif she increases the selling price of the bouquet of roses, people will still buy it. So she decided to put a mark-on at 5% of the selling price during Valentine'sDay. a)How much is the mark up? b) How much is the actual selling price on Valentine's day? c) How much is the additional mark-on? d) How much is the new selling price after additional mark-on?
Mary owns a flower shop in Dangwa. She knows that a lot of male customers will buy roses few days before Valentine's day. A bouquet of roses costs P150.00 and sold at P220.00 on regular days. On Valentine's day, the rate of markup based on the selling price of the bouquet is 10%. Mary knows that evenif she increases the selling price of the bouquet of roses, people will still buy it. So she decided to put a mark-on at 5% of the selling price during Valentine'sDay. a)How much is the mark up? b) How much is the actual selling price on Valentine's day? c) How much is the additional mark-on? d) How much is the new selling price after additional mark-on?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Mary owns a flower shop in Dangwa. She knows that a lot of male customers will buy roses few days before Valentine's day. A bouquet of roses costs P150.00 and sold at P220.00 on regular days. On Valentine's day, the rate of markup based on the selling price of the bouquet is 10%. Mary knows that evenif she increases the selling price of the bouquet of roses, people will still buy it. So she decided to put a mark-on at 5% of the selling price during Valentine'sDay.
a)How much is the mark up?
b) How much is the actual selling price on Valentine's day?
c) How much is the additional mark-on?
d) How much is the new selling price after additional mark-on?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education