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Ganezh
1 month ago
6

Ski Market sells snowboards. Ski Market knows that the most people will pay for the snowboards is $129.99. Ski Market is convinc

ed that it needs a 45% markup based on cost. The most that Ski Market can pay to its supplier for the snowboards is:
Business
1 answer:
marusya05 [3.7K]1 month ago
3 0

Ski Market retails snowboards. It is known that the highest price consumers are willing to pay for the snowboards is $129.99. Ski Market believes that it needs a markup of 45% based on cost. Therefore, the maximum price Ski Market can afford to pay its supplier for the snowboards amounts to $71.49.

Explanation:

  • The maximum price people are prepared to pay for the snowboards is $129.99.
  • Ski Market believes it requires a 45%
  • Consequently, the most Ski Market can pay its supplier for the snowboard is
  • = \frac{129.99}{100}×45
  • =$ 58.5
  • =129.99 −58.5
  • = $71.49
  • Therefore, Ski Market is able to pay a maximum of $71.49.

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