Asked by Ahlam Zehdi on Jul 04, 2024
Verified
Sonic Boom obtained a sound system for $2,400 less 30% and 15%. The system was originally priced so that, when sold in a "20% off" sale, the store's overhead and operating profit represent 25% and 15%, respectively, of the sale price. In a Midnight Madness Special, the system was sold at a " 13\frac{1}{3}31 off" special price.
a) What was the original "regular price"?
b) What was the profit or loss at the special price?
Sonic Boom
A loud sound associated with the shock waves created when an object travels through the air faster than the speed of sound.
Operating Profit
The profit achieved from a company's core business operations, excluding deductions of taxes and interest.
Regular Price
The standard or usual cost of an item or service without any discounts, promotions, or special offers applied.
- Familiarize oneself and make use of various percentage calculations in retail pricing, including but not limited to markdowns, markups, and discounts.
- Examine the impact of extra discounts on sales figures and profit margins.
- Assess the economic performance, identifying whether it is a profit or a loss, after selling merchandise by taking into account the cost price, revenue from sale, and operational expenditures.
Verified Answer
JB
Learning Objectives
- Familiarize oneself and make use of various percentage calculations in retail pricing, including but not limited to markdowns, markups, and discounts.
- Examine the impact of extra discounts on sales figures and profit margins.
- Assess the economic performance, identifying whether it is a profit or a loss, after selling merchandise by taking into account the cost price, revenue from sale, and operational expenditures.