Question

A retail store buys items from the manufacturer and then marks up the price 70%. During a sale, prices are discounted 20%. The store makes what percent profit?

Answer 1

The store makes a 50% profit. Hope it helps :)

Answer 2

For example let's say a 1 dollar item was marked up 70% 1(1.7)=1.7 dollars after mark up. The sale discounts 20% of 1.7 dollars so the new price will be 80% of 1.7. 1.7(.8)=1.36 is the price after discount. Then to find the percent profit you take the new price subtract it by old one and divide by old price. So( 1.36-1)/1=0.36
0.36*100=36% profit