Gross Margin, Trade Discount and Discount Series

What do you call sales minus cost of goods sold?

• mark-down

• margin

• mark-on

• mark-up

What do you call the amount the manufacturer deducts from the list price of the item?

• discount series

• margin

• mark-up

• trade discount

A seller of books wanted a mark-up based on cost of 20%. If his book costs PHP550, how much will be the mark-up?

• PHP27.50

• PHP110

• PHP2,750

• PHP11,000

Mona sold her craft at a selling price of PHP750. The cost of her craft amounts to PHP475. What is the gross profit margin?

• 0.37%

• 0.58%

• 37%

• 58%

The list price of an electric fan is PHP1,200. A certain appliance store can buy the electric fan at the list price less 20%. What is the trade discount?

• PHP24

• PHP96

• PHP240

• PHP960

The list price of an electric fan is PHP1,200. A certain appliance store can buy the electric fan at the list price less 20%. What is the list price of the electric fan?

• PHP240

• PHP960

• PHP1,104

• PHP1,176

DJ's regular pork supplier gives her a 5% discount on her meat purchases every week. If the price of the pork this week is PHP375 per kilo and he is planning to buy 1.5 kilos, how much trade discount will he receive from his purchase?

• PHP28.13

• PHP187.50

• PHP281.50

• PHP534.37

A distributor was able to buy an item for PHP736 after a trade discount series of 15/10/4. How much was the original selling price of this item?

• PHP900.18

• PHP902.18

• PHP1,000.18

• PHP1,002.18

John found a set of surround sound speakers for his bistro that lists for PHP600 and a trade discount series of 15/10/5. What is the net price that John will pay?

• PHP416.05

• PHP420.05

• PHP426.05

• PHP436.05

Joel found an oval mat cutter that he wants to purchase and use in framing pictures. It lists for PHP1,500 and has a trade discount series of 30/20/10.

• 0.4

• 0.496

• 0.504

• 0.6