Step by step
The question
Question: A store buys a lamp for $40 and marks it up 35%.
What is the selling price?
1 Find the markup
Percent means out of 100.
So 35% is 35 divided by 100: 0.35.
The point moves 2 places to the left.
35% = 35 ÷ 100 = 0.35
The markup is 35% of $40.
"Of" means times: 0.35 times $40.
That is $14.
markup = 0.35 × $40 = $14
To multiply decimals: first 35 times 40, as whole numbers.
That is 1400.
Then count the decimal places: 2.
So it is 14.00.
35 × 40 = 1400
2 decimal places: 14.00
Careful!
35% is not $35.
It is 35% of the price.
Careful: not $40 + $35 = $75 ✗
2 Add it on
A markup is added to the cost.
$40 plus $14 is $54.
selling price = $40 + $14 = $54
So the selling price is $54.
3 Check
Let's check another way: the selling price is 100% plus 35%: 135% of the cost.
1.35 times $40 is $54.
The same.
So the answer is right!
100% + 35% = 135%: 1.35 × $40 = $54
Let's look back.
First: find the markup.
Then: add it on.
Last: check.
Answer
selling price = $40 + $14 = $54