Chapter 8

Question	Answer
Selling price	What retailers' sale for
Cost	what retailers pay
Mark up	the price retailer sale the item compared to their cost
margin	the amount between the mark up and the selling price
Gross profit	what retailers make per piece
Operating expenses	what it costs to operate the business
net profit	the amount made off products
net income	income to person
Percent mark up on cost	mark up divided by cost equals percent
Markdowns	discount on products
dollar mark down	original price minus reduction price
Perishable	Item with limited life
Fixed cost	doesn't change
variable cost	cost does change
Selling price	What its sold for
Contribution margin	difference from selling price and variable cost
Breakeven point	what the seller needs to sell to begin making profit

Resource summary

	Created by DaLena Schultz about 2 months ago