Hi there,
Isn't the answer for the second part of Q1 different as the question asked for gross mark-up instead of profit margin? The answer given is annual profit margin of 28.6% and was wondering if I missed something.
If it is indeed different, may I know what would your answer be? Thanks! :)
Hi there,
I think you're right here!
They ask for markup but then provide margin…two different (but easily confused concepts)
Margin is (sales minus the cost) divided by sales.
Markup is (sales minus the cost) divided by cost.
