Chapter 6.5, Problem 43HP

a.

To determine

To find: Whether each statement is True or False.

Answer to Problem 43HP

False.

Explanation of Solution

Given information:

It is Impossible to increase the cost of an item by more than $100\%$ .

Given statement is False.

Because taking an example we can show that mark-up is more than $100\%$

Original price $=\$140.75$

Selling price $=\$379.99$ .

Amount of change = Selling price $-$ Original price

  $\begin{array}{l}\Rightarrow A=379.99-140.75\\ \Rightarrow A=239.24\end{array}$

Therefore,

Percent of change $=\frac{239.24}{140.75}\times 100$

  $\Rightarrow$ Percent of change $=\frac{23924}{140.75}$

  $\Rightarrow$ Percent of change $=169.9751$

To nearest tenth, the Percent of change is $170.0\%$ and Positive sign indicates that percent of change is a Markup.

b.

To determine

To find: Whether each statement is True or False.

Answer to Problem 43HP

TRUE.

Explanation of Solution

Given information:

It ispossible to decrease the cost of an item by less than $1\%$ .

Given statement is True.

Because we can decrease the cost of any item by less than $1\%$ .