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swimsuit buyer reduced a group of designer swimwear from $75.00 to $50.00 for a special sale. If 40 swimsuits sold at the reduced price and the remaining 25 swimsuits were returned to the original price after the sale, calculate the total markdowns, markdown cancellations, and net markdown achieved.

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Answer:

The original price is = $75

The reduced price = $50

So, price reduced is = [tex]75-50=25[/tex] dollars

Total swimsuits are = [tex]40+25=65[/tex]

Total markdown = [tex]65\times25=1625[/tex] dollars

Now, 25 swimsuits were returned to the original price. Means 25 swimsuits were returned to $75, increasing $25 again.

So, markdown cancellation = [tex]25\times25=625[/tex] dollars

Net markdown = total markdown - markdown cancellation

= [tex]1625-625=1000[/tex] dollars

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