Respuesta :
Answer:
The net profit rate on the book is 5.41
Step-by-step explanation:
Given as :
The marks up percentage of book = m = 40%
The overhead rate is 16% of selling price
The cost price of book = c.p = $18.10
Let The profit = $p
Let The selling price = s.p
Now, According to question
mark up percentage = [tex]\dfrac{s.p - c.p}{c.p}[/tex]
I.e 40% = [tex]\dfrac{s.p - 18.10}{18.10}[/tex]
Or, [tex]\dfrac{40}{100}[/tex] + 1 = [tex]\dfrac{s.p}{18.10}[/tex]
Or, [tex]\dfrac{140}{100}[/tex] = [tex]\dfrac{s.p}{18.10}[/tex]
Or, s. p = [tex]\dfrac{140\times 18.10}{100}[/tex]
∴ s.p = $25.34
So, selling price of book = s.p = $25.34
Now, The overhead percentage = 16%
i.e overhead rate = [tex]\dfrac{\textrm estimated cost}{\textrm estimated total base unit}[/tex]
Or, estimated cost = 16% × 25.34
I,e estimated cost = 0.16 × 25.34
∴ estimated cost = $4.05
Now,
Profit = selling price of book - estimated book cost
I.e p = $25.34 - $4.05
∴ p = $21.29
So, The profit rate% = [tex]\dfrac{\textrm profit}{\textrm estimated cost}[/tex]
I.e The profit rate% = [tex]\dfrac{21.29}{4.05}[/tex]
∴ profit rate %= 5.41
So, The profit rate = p = 5.41
Hence, The net profit rate on the book is 5.41 Answer
