Question

A craft store retailer uses a markup rate of 65%. A scrapbook kit costs the retailer $20.

Answer 1

The correct answer is B. $33

Answer 2

Okay. The store bought the scrapbook kit at 20$ and then sold it 65% more than what they bought it. To find the new selling price, all you have to do is multiply 20 by 165% (1.65). This is because you add 100% to the markup to get to the total price and adding 100% to a markup or tax could bring you to the total price easily. 20 * 165% (1.65) is 33. There. The selling price of the scrapbook kit is $33. The answer is B: $33.