Markup and Markdown: Jessie buys 20 winter coats at a cost of $98.50 each....

TallBoyAlcohol

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Jessie buys 20 winter coats at a cost of $98.50 each. Past experience indicates that 25% of seasonal merchandise will be unsold at the end of the season and must be sold at 90% of cost. Find the original marked price per coat that will produce a 40% markup on cost.
 
Markup on cost

Jessie buys 20 winter coats at a cost of $98.50 each. Past experience indicates that 25% of seasonal merchandise will be unsold at the end of the season and must be sold at 90% of cost. Find the original marked price per coat that will produce a 40% markup on cost.
 
Use what you learned back in pre-algebra:

Jessie buys 20 winter coats at a cost of $98.50 each.
So what was her total cost? (Hint: Multiply.)

Past experience indicates that 25% of seasonal merchandise will be unsold...
So how many will be unsold? (Hint: Multiply.)

...at the end of the season and must be sold at 90% of cost.
What is ninety percent of cost? (Hint: Multiply.)

What will be the income from the twenty-five percent which are sold at ninety percent of cost? (Hint: Multiply.)

Find the original marked price per coat that will produce a 40% markup on cost.
How many coats will sell during the regular season? (Hint: Subtract.)

What total value represents a forty percent markup on the total cost of her original purchase cost? (Hint: Multiply.)

Given the amount that she will get from post-season marked-down sales, how much is left, that she needs to earn on regular-price, regular-season coat sales? (Hint: Subtract.)

Then how much should she charge for each regular-season coat? (Hint: Divide.)

If you get stuck, please reply showing your thoughts and efforts so far. Thank you! ;)
 
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