Question

A pizza restaurant sells containers of juice that it marks up 75 percent above its wholesale cost. If the restaurant marks up each container by $0.90, how much does the restaurant pay for each container of juice wholesale?
$0.51
$0.83
$1.20
$1.58

Answer 1

To find the wholesale cost of each container of juice, let \( x \) be the wholesale cost. The restaurant marks up the wholesale cost by 75%, which can be expressed as:

\[
\text{Selling Price} = x + 0.75x = 1.75x
\]

According to the problem, the markup amount is given as $0.90. The markup amount can also be calculated as:

\[
\text{Markup} = \text{Selling Price} - \text{Wholesale Cost} = 1.75x - x = 0.75x
\]

Since the markup is $0.90, we can set up the equation:

\[
0.75x = 0.90
\]

Now, we can solve for \( x \):

\[
x = \frac{0.90}{0.75}
\]

Calculating this gives:

\[
x = 1.20
\]

Therefore, the restaurant pays **$1.20** for each container of juice wholesale.

The answer is \( \boxed{1.20} \).