Question

If it cost $.20 to make a glass of lemonade and I sell it for $.50 what is the percentage of markup?

Do I divide 20 by 50. Then my answer is 40%. Is that right?

Answer 1

no, 40% is the cost
the markup is .50/.20 = 2.5
Now, selling it for 100% of the cost is no markup.
You have marked it up 1.5 times more than the cost, or 150%

Answer 2

Thanks so much