13 Markup Percentage

Markup percentage is what percentage of profit you make for each item you sell. If you want to make a 30% profit, for example, on each item you sell, you need to calculate how much it costs you to make that item. Let’s say it costs you $0.35 to make one scone. How much should you charge for that scone to make a 30% profit? Here is a formula you can use:

Cost plus (Cost times Markup) equals Price

For the scone price, you would set it up like this:

$0.35 + ($0.35 LaTeX: \times 30%) = Selling price

How would you put 30% into decimal form?

Percent to Decimal Conversion. To convert a percentage to its decimal value: remove the percent sign, put a decimal point onto the end of the number, move the decimal point two spaces to the left, fill any empty places with a zero, remove any "trailing" zeros off the end of the answer, always have a zero in front of the decimal point if the original % in the question was less than 100%

Here are some examples:

  • 20% LaTeX: \longrightarrow 0.2
  • 87% LaTeX: \longrightarrow 0.87
  • 62% LaTeX: \longrightarrow 0.62
  • 15% LaTeX: \longrightarrow 0.15

Returning to the problem above:

$0.35 + ($0.35 LaTeX: \times 0.3) = Selling price

$0.35 + ($0.105) = $0.455, rounded to $0.46

If you want to make 30% profit on your scones, you would sell them for $0.46.

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This is the Navigation section at the top of the page.

Purpose

To practice calculating the the markup percentage of various bakery items.

Outcomes

By completing this assignment, you will be able to…

  • Understand what markup percentage means.
  • Calculate the markup percentage of given bakery items.

Instructions

To complete this assignment…

  1. Read the problems carefully and find the correct answers.
  2. Be sure to show how you set up each problem.

 

Tips for Success

To help in the completion of this assignment, make sure to:

  • Read each problem carefully and understand what it is asking.
  • Include how you set up each problem in order to get credit.

Markup Percentage Assignment

1) If it costs $0.39 to make a doughnut, and you need to make a 50% profit, what would you charge for the doughnut?

2) If it costs $0.97 to make a croissant, and you need to make a 45% profit, what would you charge for the croissant?

3) If it costs $2.14 to make a cherry pie, and you need to make a 60% profit, what would you charge for the pie?

4) If it costs $0.28 to make a large chocolate chip cookie, and you need to make a 75% profit, what would you charge for the cookie?

5) If it costs $2.36 to make a sausage roll, and you need to make a 50% profit, what would you charge for the sausage roll?

6) If it costs $3.56 to make a quarter-sheet cake, and you need to make a 65% profit, what would you charge for the cake?

7) If it costs $1.23 to make a large bran muffin, and you need to make a 35% profit, what would you charge for the muffin?

8) If it costs $1.57 to make six cupcakes, and you need to make a 70% profit, what would you charge for the cupcakes?

9) If it costs $3.14 to make a chocolate cream pie, and you need to make a 55% profit, what would you charge for the pie?

10) If it costs $0.78 to make a maple bar, and you need to make a 35% profit, what would you charge for the maple bar?

11) If it costs $1.09 to make an apple fritter, and you need to make a 65% profit, what would you charge for the apple fritter?

12) If it costs $1.76 to make an 8-inch round cake, and you need to make a 50% profit, what would you charge for the cake?

13) If it costs $0.69 to make a raspberry turnover, and you need to make a 75% profit, what would you charge for the turnover?

14) If it costs $1.42 to make a dozen cookies, and you need to make a 45% profit, what would you charge for the cookies?

15) If it costs $1.98 to make an eclair, and you need to make a 40% profit, what would you charge for the eclair?

16) If it costs $2.56 to make a loaf of sourdough bread, and you need to make a 65% profit, what would you charge for the bread?

17) If it costs $1.21 to make a dozen dinner rolls, and you need to make an 80% profit, what would you charge for the dinner rolls?

18) If it costs $0.54 to make six biscuits, and you need to make a 25% profit, what would you charge for the biscuits?

License

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Bakery and Business Math Copyright © by Eunice Graham is licensed under a Creative Commons Attribution 4.0 International License, except where otherwise noted.

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