To calculate the markup as a percentage, you would divide the markup by the cost and multiply the result by 100:
Markup = (Selling price - Cost) / Cost * 100 = ($100 - $75) / $75 * 100 = $25 / $75 * 100 = 33.33%.
Therefore, in this example, the markup is 33.33%.
Markup is an important concept in business because it helps a company determine the selling price of a product. By adding a markup to the cost of a product, a company can cover its expenses and earn a profit. Markup is typically expressed as a percentage of the cost and can vary depending on the industry and the type of product being sold.
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