the selling price of a refrigerator, is $704.55. if the markup is 5% of the dealers cost, what is the…
the selling price of a refrigerator, is $704.55. if the markup is 5% of the dealers cost, what is the dealers cost of the refrigerator?
Answer
Explanation:
Step1: Let dealer's cost be $x$.
The selling price is the dealer's cost plus the markup. Markup is 5% of $x$ which is $0.05x$. So the selling - price equation is $x + 0.05x=704.55$.
Step2: Combine like terms.
$1x+0.05x=(1 + 0.05)x=1.05x$. So the equation becomes $1.05x = 704.55$.
Step3: Solve for $x$.
Divide both sides of the equation $1.05x = 704.55$ by 1.05: $x=\frac{704.55}{1.05}$. $x = 671$.
Answer:
$671$