Backing out mark up

Drwinky

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Joined
May 4, 2016
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How do I back out the markup?
say something is 18.36 and I think the mark up is 8%, how do I figure out what the cost is.
probably simple and I'm overthinking it, not to mention I'm terrible at math!
Thx!
 
How do I back out the markup?
say something is 18.36 and I think the mark up is 8%, how do I figure out what the cost is.
probably simple and I'm overthinking it, not to mention I'm terrible at math!
Thx!
You have something that cost c and you are going to mark it up i% [by an amount of i/100 of the cost] to get the price p, so
p = c + (i/100) = [1 + i/100] c
Can you solve that for c? In your case p=18.36 and i=8% so
18.36 = 1.08 c
 
In my understanding, "mark up" refers to when a retailer sells an item for a higher price than what they paid the manufacturer for it. If you mean something else by this term, please specify. Otherwise, I'll proceed under that definition. You know that the original cost is 100%, and the mark up is 8%, so what percentage is the retailer selling the item for? Given that the $18.36 is that percentage, what, then, is 100%?
 
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