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It think 36$ but I am not 100 percent sure, I learned how to do this but  I was taught to find the percentage up the markup.
Neuron
If you would like to know what is the retail price, you can calculate this using the following steps:

original price ... $32
markup ... 12.5%

12.5% of $32 = 12.5% * 32 = 12.5/100 * 32 = $4
$32 + $4 = $36

Result: The retail price is $36.