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Sam operates a fruit shop. He marks all his fruit up by 40% of their cost. If the fruit does not sell readily, he tags it with a sign 'Reduced 40%'. He has such a sign on punnets of strawberries which cost him 75c. How much would a customer pay for these strawberries?
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Take it in 2 steps: The strawberries cost him $0.75 and he initially increases the price by 40%: ($0.75)(1.40)=$1.05 Since they aren't selling he puts up a sign saying they are reduced by 40%: ($1.05)(0.60)=$0.63
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