Challenging Math Problems for Business

Software Company Expenses Calculation

A software company (ABC) bought 150 units of software XYZ, paying $1500 for the lot. ABC estimated its operating expenses for this product to be 12% of the cost.

Question 104:

What are the operating expenses for the software XYZ?

A) $12.37 B) $12.60 C) $12.77 D) $17.00 E) None of the above

In question 104, the operating expenses for the software XYZ is $1.20. Therefore, the correct answer is E) None of the above.

Shoe Store Markup Calculation

Due to fierce competition in the shoe industry, the sale price of an item cannot be increased. The sale price of this item is $550. If the shoe store owner feels she needs a markup on the price of 25 percent to cover her expenses and return a reasonable profit, what is the maximum she can pay for this item?

Question 105:

What is the maximum price the shoe store owner can pay for the item?

A) $515.63 B) $412.50 D) $137.50 E) $103.12

In question 105, the maximum the shoe store owner can pay for the item is $440. Therefore, the correct answer is E) $103.12.

Markup Percentage Calculation

Company BlueOcean's total sales of 1,000 units are $400,000. The company uses a markup on cost of 25%. What is the markup as a percentage of the price?

Question 106:

What was the cost of the cricket bat to the store?

A) $100 B) $75 C) $50 D) $25 E) None of the above

In question 106, the cost of the cricket bat to the store is $100. Therefore, the correct answer is A) $100.