Mark up refers to the value that a player adds to the cost price of a product. The value added is called the mark-up. The mark-up added to the cost price usually equals retail price. For example, a FMCG company sells a bar of soap to the retailer at Rs 10. This is the cost price.
What is costing in markup?
The markup on cost is the amount added to the cost of a product or service to arrive at the selling price. The markup on cost is expressed in percentage terms. Markup on Cost = {(Selling Price – Cost )/Cost)} x 100.
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Answer:
Mark up refers to the value that a player adds to the cost price of a product. The value added is called the mark-up. The mark-up added to the cost price usually equals retail price. For example, a FMCG company sells a bar of soap to the retailer at Rs 10. This is the cost price.
What is costing in markup?
The markup on cost is the amount added to the cost of a product or service to arrive at the selling price. The markup on cost is expressed in percentage terms. Markup on Cost = {(Selling Price – Cost )/Cost)} x 100.
Explanation: