Furniture Warehouse bought freezers for $1,800 less 33 $13\frac{1}{3}$ % and 5%. The store's overhead works out to 30% of cost. The freezers are initially priced so that a profit of 16⅔% of cost will be realized when a freezer is sold at a "15% off" price.
a) What is the initial full rate of mark-up on cost?
b) During its Scratch-and-Save sale, customers qualify for an extra discount of either 5%, 7%, or 10%. This extra discount appears when the customer scratches a ticket at the time of a purchase. It is added to the basic 15% discount, making the combined discount 20%, 22%, or 25%, respectively. What is the store's profit or loss per freezer at each of these discounts?

Question

Furniture Warehouse bought freezers for $1,800 less 33

13\frac{1}{3}

% and 5%. The store's overhead works out to 30% of cost. The freezers are initially priced so that a profit of 16⅔% of cost will be realized when a freezer is sold at a "15% off" price.
a) What is the initial full rate of mark-up on cost?
b) During its Scratch-and-Save sale, customers qualify for an extra discount of either 5%, 7%, or 10%. This extra discount appears when the customer scratches a ticket at the time of a purchase. It is added to the basic 15% discount, making the combined discount 20%, 22%, or 25%, respectively. What is the store's profit or loss per freezer at each of these discounts?

Jayden Laiken · Accepted Answer

Final Answer : a) 72.55%b) -$6.71

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