Answer:
Each Brownie should sell for $ 1.27.
Step-by-step explanation:
Since Mike's Bakery makes brownies that cost $ .80 each, of which 15 percent will spoil and thus are not salable, and Mike wants a 35 percent markup based on cost, producing 500 brownies, to determine the price at which each brownie should sell for the following calculation must be performed:
500 x 0.80 = 400
500 x 0.85 = 425
400 x 1.35 = 540
540/425 = 1.27
Therefore, each Brownie should sell for $ 1.27.
Answer:
Step-by-step explanation:
Cost = 500 * .80 = $400
35% markup = $400*.35 = $140
$400 (cost) + $140 (profit) = $540
500 brownies w/15% waste = 500 * .15 = 75 bad brownies
500 brownies minus 75 brownies = 425 brownies
$540 total cost + profit divided by 425 brownies = $1.27 price per brownie.
