Brown Company purchases laptops for $385 each and sells each one for $550. If overhead expenses are 9% on the costper laptop,

a) calculate the profit the company is receiving on each laptop.

b) calculate the rate of markup on the selling price for each laptop.

c) calculate the rate of markup on the cost for each laptop.

Use Markup Formulas:

Selling Price: S=C+M

Selling Price: S=C+E+P

Amount of Markup: M=E+P

Rate of Markup on Cost= M/C x 100%

Rate of Markup on Selling Price= M/S x 100%

Break-Even Price: BE=C+E