A tin of outdoor paint costs $17.50 and sells for $33. GST of 10% applies and what is the mark up price?

The mark up price is $18.80.





33X(110/100) - 17.50


=36.30 - 17.50


=18.80A tin of outdoor paint costs $17.50 and sells for $33. GST of 10% applies and what is the mark up price?
Hi,





Since a GST of 10% applies, I assume the selling price already includes the GST or general sales tax. So $33 = 110% of the shelf price, so the shelf price is 33/1.10 or $30 for the tin of paint. Since it cost the merchant $17.50, his markup was $30 - 17.50 or $12.50.





I hope that helps!!