Supp. Q.18: Standard Appliances buys refrigerators for $1460 less 30% and 5%. Standard's overhead is 18% of the regular selling price of $1495. A scratched demonstrator unit from their floor display was sold for $1195. a) At regular S. price, what is the rate of markup on cost? b) What is the rate of markdown on the demonstrator unit? c) What is the operating profit or loss on the demo unit? Solution