in a business transaction the mark-up is 80%,if the cost increases by 20% but selling price remains the same,calculate % change and profit

Answer 1

if price is p and cost is c, then normally,

p = 1.8c

If c increases by 20%, then

1.8c - 1.2c = 0.6c

that is, the profit has changed from .8c to .6c, or a decrease of 25%.

Answer 2

Thank you mr steve really appreciate it