6. Fashion Master purchased men's sweaters for $72 less 40% and 15%. The normal rate of markup on selling price is 40%, and overhead is 25% of regular selling price. The sweaters were reduced to 45.90 for the store's Boxing Day Blowout. a. What was the rate of markdown for the sale (discounted Price)? b. What was the profit or loss on each sweater at the sale price? c. At the sale price (discounted price), what was the rate of markup on cost?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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6. Fashion Master purchased men's sweaters for $72 less 40% and 15%. The normal rate of
markup on selling price is 40%, and overhead is 25% of regular selling price. The
sweaters were reduced to 45.90 for the store's Boxing Day Blowout.
a. What was the rate of markdown for the sale (discounted Price)?
b. What was the profit or loss on each sweater at the sale price?
C. At the sale price (discounted price), what was the rate of markup on cost?
Transcribed Image Text:6. Fashion Master purchased men's sweaters for $72 less 40% and 15%. The normal rate of markup on selling price is 40%, and overhead is 25% of regular selling price. The sweaters were reduced to 45.90 for the store's Boxing Day Blowout. a. What was the rate of markdown for the sale (discounted Price)? b. What was the profit or loss on each sweater at the sale price? C. At the sale price (discounted price), what was the rate of markup on cost?
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