Question

A shoe store marks up its merchandise by 8%. What was the selling price of a pair of shoes whose A wholesale price is $24.50?

Answer 1

The selling price of the pair of shoes is `$26.46`.

Explanation:

If the mark-up rate is `8%`, then the selling price of a pair of shoes will be `108%` of the wholesale price. (Remember that the mark-up rate is added to `100%` of the wholesale price to obtain the selling price.) The first step in finding the selling price is to change `108%` into a decimal. Remember that the percent symbol is notation for `1/100`, so to change a percent back to a decimal, we replace the percent symbol with `1/100` and simplify the expression.

`108% = 108(1/100) = 1.08`

Now multiply the wholesale price by this decimal to find the selling price.

`$24.50(1.08) = $26.46`

The selling price of the pair of shoes is `$26.46`.