Cost price of article = 48$
% of overhead cost = 10
Net profit = 12 $
We need to calculate % markup
Net profit as % of cost price = (12/48)*100 = 25%
Total markup should be = 25 + 10 = 35%
The purchase price of an article is $48. In order to include 10% of cost for overhead and to provide $12 of net profit, the markup should be
Options:
(a) 15%
(b) 25%
(c) 35%
(d) 40%
(e) 45%