Mike's Bakery makes brownies that cost $.80 each. 15 percent of the crownies will spoil and thus are not salable. Mike wants a 35 percent markup based on cost. Mike produces 500 brownies. Each brownie should sell for:

Each Brownie should sell for $ 1.27.

Step-by-step explanation:

Since Mike's Bakery makes brownies that cost $ .80 each, of which 15 percent will spoil and thus are not salable, and Mike wants a 35 percent markup based on cost, producing 500 brownies, to determine the price at which each brownie should sell for the following calculation must be performed:

500 x 0.80 = 400

500 x 0.85 = 425

400 x 1.35 = 540

540/425 = 1.27

Therefore, each Brownie should sell for $ 1.27.

Step-by-step explanation:

Cost = 500 * .80 = $400

35% markup = $400*.35 = $140

$400 (cost) + $140 (profit) = $540

500 brownies w/15% waste = 500 * .15 = 75 bad brownies

500 brownies minus 75 brownies = 425 brownies

$540 total cost + profit divided by 425 brownies = $1.27 price per brownie.

step-by-step explanation:

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