Based upon retail selling price, if John Doe wants to figure out the actual amount of markup of a product he plans to retail, he should
A. divide the selling price by the cost
B. divide the cost by the selling price
C. subtract the cost from the selling price
D. subtract the cost from the markup
E. Cannot be determined from the information given
Answer: (C) When one wants to calculate the markup of a product, at retail, the correct formula is Amount of Markup = Selling Price - Cost. Thus, (C) is correct. (A), (B), and (D) are incorrect formulas and won't yield the markup. (E) is incorrect because the answer is available from the given data.