3. At Ree Ski Center, the most people will pay for a neck warmer is $10. The manager of Ree Ski Center knows he needs a 30% markup based on cost. What is the most the manager can pay the suppliers for neck warmers and still keep the selling price at $10?

Question

3.	At Ree Ski Center, the most people will pay for a neck warmer is $10. The manager of Ree Ski Center knows he needs a 30% markup based on cost. What is the most the manager can pay the suppliers for neck warmers and still keep the selling price at $10?

anonymous · Answer

$10/130% = max purchase price allowing 30% markup and sale @ $10.
=10/1.3