To calculate the cost per kg at which the grocer bought the bananas, we can use the following equation:
Cost per kg = Selling price per kg / (1 + Markup percentage)
Given:
Selling price per kg = RM3.00
Markup percentage = 50%
Plugging in the values:
Cost per kg = RM3.00 / (1 + 0.50)
Cost per kg = RM3.00 / 1.50
Cost per kg = RM2.00
Therefore, the bananas cost RM2.00 per kg for the grocer.
QUESTION 1 (10 MARKS)
A grocer buys 100kg of bananas to sell. Experience indicates that about 10% of these bananas will be spoilt before they are sold. To obtain a markup of 50% on overall cost, he prices the bananas at RM3.00 per kg. How much do the bananas cost per kg?
1 answer