A retailer buys an alarm set for RM 850. Operating expenses are 5 % based on cost. The retailer wants a 30% net profit based on the selling price. Find  a) the net profit if the retail price is RM 950. b) the maximum markdown that could be offered so that there is no profit or loss

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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A retailer buys an alarm set for RM 850. Operating expenses are 5 % based on cost. The
retailer wants a 30% net profit based on the selling price. Find 

a) the net profit if the retail price is RM 950.

b) the maximum markdown that could be offered so that there is no profit or loss

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