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?

Question

$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 \( \boxed{1.20} \).