The relationship between markup and cost is given in the problem statement.
markup = 0.32 × cost = 0.32 × $27.50 = $8.80
Selling price is the sum of cost and markup.
selling price = cost + markup = $27.50 + 8.80 = $36.30
Let x be marked up price. We have been given that a chemistry set costing $27.50, marked up 32% on cost.
[tex]x=27.50\times\frac{32}{100}[/tex]
[tex]x=27.50\times.32[/tex]
[tex]x=8.8[/tex]
Therefore, mark up price is $8.80.
Since we know that selling price of any item equals the sum of cost and mark-up price of the item.
Let us find selling price of our chemistry set.
[tex]\text{Selling price of chemistry set}=27.50+8.8[/tex]
[tex]\text{Selling price of chemistry set}=36.30[/tex]
Therefore, the selling price of the chemistry set is $ 36.30.
