Business math 2524

Question

If a grocery store’s rate of markup on the selling price of tomatoes is 55%, what is the rate of markup on the cost of tomatoes?

Answer 1

Say that a lb of tomatoes sells for 1.00 dollar. Then 55 cents is markup and 45 cents is cost to grocer.

So,

(.45)x = 1.00

x = 2.22222222222

This is 222.22% markup on the cost.