Solve the problem. Round rates to the nearest tenth of a percent and dollar amounts to the nearest cent.
Bob’s Tires manufactures steel–belted radials at a cost of $56.47 each. Bob then sells the tires at a
32.6% markup based on cost. Find (a) the markup, (b) the selling price, and (c) the markup as a
percent of selling price.
(a) $173.22
(b) $229.69
(c) 306.7%
(a) $18.41
(b) $74.88
(c) 24.6%
(a) $18.41
(b) $74.88
(c) 32.6%
(a) $173.22
(b) $229.69
(c) 75.4%
A local dealer sells baseballs for $25 each. If $3.92 is the markup, what is the cost and the markup
on cost?
Find the inventory values using (a) the weighted–average method, (b) the FIFO method, and (c) the LIFO method. Round
final answers to the nearest dollar.
Purchases Now in Inventory
Beginning inventory: 600 units at $3.33
June: 750 units at $4.44
December: 550 units at $2.62 722 units
(a) $2570 (b) $2205 (c) $2540
(a) $2501 (b) $3206 (c) $2205
(a) $6769 (b) $2404 (c) $1892
(a) $2570 (b) $2540 (c) $2205
Purchases Now in Inventory
Beginning inventory: 25 units at $30.19
March: 70 units at $29.93
June: 65 units at $37.29
August: 40 units at $22.30 80 units
a) $2466 b) $2401 c) $2384
a) $6166 b) $2415 c) $1784
a) $2466 b) $2384 c) $2401
a) $6166 b) $2983 c) $2394