Markup & Discount Warm Up

Front

What is markup?

Back

Markup is the amount added to the cost price of a product to determine its selling price.

Front

How do you calculate the selling price with markup?

Back

Selling Price = Cost Price + (Markup Percentage × Cost Price)

Front

If a product costs $28.00 and is marked up by 900%, what is the selling price?

Back

Selling Price = $28.00 + (900% × $28.00) = $280.00

Front

What is a discount?

Back

A discount is a reduction from the original price of a product.

Front

How do you calculate the sale price after a discount?

Back

Sale Price = Original Price - Discount Amount

Front

If a television costs $360.99 and is on sale for 75% off, what is the sale price?

Back

Sale Price = $360.99 - (75% × $360.99) = $90.25

Front

What does it mean to subtract a discount from the original price?

Back

It means to reduce the original price by the amount of the discount.

Front

What is a markdown?

Back

A markdown is a permanent reduction in the original selling price of a product.

Front

Which of the following is NOT a markdown: sale, clearance, markup, discount?

Back

Markup is NOT a markdown.

Front

What is the difference between markup and discount?

Back

Markup increases the price of a product, while discount decreases the price.