The cost of an apple

If the price of an apple was raised 50%,
and then decreased 50%,
making it cost $0.75,
how much was the original price?

1.00

Apples are all overpriced trendy pieces of shit

1 dolla

That's what i originally though, and what i put down as my answer. But then i second guessed myself when i googled it and saw yahoo answers. I left it as one dollar, btw.

If the price of an apple....? - Yahoo! Answers

this thread makes me fucking

First thought was a dollar, definitly not 75c, but the original train of thought was the .75 is 75% of the original total, but then decided I was sleepy.

buck tree fitty

wow, people are fucking retarded at math.

apparently odio didnt pass arithmetic

Rayn said:

wow, people are fucking retarded at math.

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You'd be surprised. I'm a widget dealer, and I buy widgets wholesale at $2 each. I mark them up 20% to sell to consumers. What's the retail price I'm asking?

People get this wrong more times than I would like.

$2.40

who is your widget guy?

BeLiaL said:

$2.40

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Dunno if you're trolling or not, but either way, thanks for illustrating my point.

There is a difference between a 20% margin and a 20% markup vanster.

Vanster said:

Dunno if you're trolling or not, but either way, thanks for illustrating my point.

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Your question was wrong, you are asking for a 20% margin. he is right for a 20% markup.


This table is designed to assist in converting the different methods of arriving at a retail price. Use the multiplier on cost to achieve the desired margin. For example, to achieve a 33.33% margin use a 150% (1.50) multiplier. Another way to express the difference is that a markup percentage of 50% only yields a margin percentage of 33.33%. Markup, defined as the percentage added to cost to arrive at a selling price, is commonly used to price materials. If you want to mark up an item 20%, you add 20% of the item's cost to the cost. However, as we have demonstrated, a 50% markup does NOT yield a 50% margin! It is important that you utilize margin and markup properly. Here are the formulae that should help:

Margin
If the cost for an item is $500 and you want a 30% margin:

$500 / (100%-30%)
$500 / (70%)
$500 / .70 = $714.29

COST / (100%-GM%) = SELLING PRICE

A variation taught by many accountants is to also include what is known as base overhead factor (BOF). That ranges from 1.25% to 5%. The same margin with the BOF method, in this case 5%, would be as follows:

$500 / (100%-30%-5%)
$500 / (65%)
$500 / .65 = $769.23

COST / (100%-GM%-BOF%) = SELLING PRICE

In the Margin example above, do NOT make the common error of multiplying by .70! In this case that would yield a selling price of $850.00; nice if you can get it honestly but the greatest probability is that a competitor would undercut your bid at the same (anticipated) margin!

Markup
If an item cost $500 and you want to add a 20% markup:

500 X 20% = $10
$500 + $100 = $600 SELLING PRICE

The actual margin on this item is less than 20%.
($600 - 500) / $600 = 16.67%
(RETAIL - COST) / RETAIL

Vanster said:

Dunno if you're trolling or not, but either way, thanks for illustrating my point.

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lol. Double reverse point illustration for the win.

psyduck