If Bob Peters sells a set of steak knives for $1,000, and he has a markup (or selling price) of $600, what is his markup percent?
A. 10%
B. 20%
C. 50%
D. 60%
E. Cannot be determined from the information given
Answer: (D) is the correct answer. Percent markup based upon the selling price is calculated by dividing the selling, or retail, price into the amount of the markup. (A) is incorrect because 600/1,000 = 60%, not 10%. Likewise, (B) and (C) are incorrect. Amount of Markup/Selling Price = Percent Markup, thus the answer can be determined, and (E) is incorrect.