The document discusses concepts related to mark-up, mark-down, and calculating rates for each. It provides examples of computing mark-up based on cost and selling price. It also demonstrates how to calculate mark-down rates based on the original and new selling price. Several practice problems and tables are included for the reader to complete.

1. Objectives:
1. Obtain mark-on, markdown and mark-
up given price of the product.
2. Compute markup rate based on cost and
selling price and on new selling price
and markdown rate based on old selling
price and new selling

2. Answer what is asked:
1. John purchased a cellphone worth
₱15,900.00. He decided to sell the cellphone
for ₱16,500.00. How much is the Mark-on?
2. John decided to increase the original price by
₱200.00. How much will be the new selling
price?
3. How much will be the selling price if John will
cancel ₱100.00 based on the new selling price?
4. How much now will be the total markup?

3. The markdown can be expressed either as a
percent of the new selling price or old selling
price:
Markdown rate (% of old selling price) =
𝑀𝑎𝑟𝑘𝑑𝑜𝑤𝑛
𝑂𝑙𝑑 𝑆𝑒𝑙𝑙𝑖𝑛𝑔 𝑃𝑟𝑖𝑐𝑒
Markdown rate (% of new selling price)
=
𝑀𝑎𝑟𝑘𝑑𝑜𝑤𝑛
𝑁𝑒𝑤 𝑆𝑒𝑙𝑙𝑖𝑛𝑔 𝑃𝑟𝑖𝑐𝑒

4. Christine sells her watch for ₱2,500.00.
She noticed that no one would buy the
item. She decided to reduce the amount to
₱2,000.00.
1. How much is the markdown?
2. What is the percentage of markdown as
to the old selling price?
3. What is the percentage of markdown as
to the new selling price?

5. 1. The markdown is
𝑴𝒅 = 𝑺𝑷𝒐 − 𝑺𝑷𝒏
= ₱2,500.00 - ₱2,000.00
𝑴𝒅 = ₱500.00
2. Markdown rate (% of old selling price)
=
𝑀𝑎𝑟𝑘𝑑𝑜𝑤𝑛
𝑂𝑙𝑑 𝑆𝑒𝑙𝑙𝑖𝑛𝑔 𝑃𝑟𝑖𝑐𝑒
=
₱500.00
₱2,500.00
= 𝟐𝟎%
3. Markdown rate (% of new selling price)
=
𝑀𝑎𝑟𝑘𝑑𝑜𝑤𝑛
𝑁𝑒𝑤 𝑆𝑒𝑙𝑙𝑖𝑛𝑔 𝑃𝑟𝑖𝑐𝑒
=
₱500.00
₱2,000.00
= 𝟐𝟓%

6. MARKUP BASED ON COST
 The sum of the cost (C) and mark-up
determines the selling price (P).
 Selling Price = Cost + Markup
 The formula for the rate of markup
based on cost denoted by Muc is given
by
𝑴𝒖𝒄𝒐𝒔𝒕% =
𝑴𝒂𝒓𝒌𝒖𝒑
𝑪𝒐𝒔𝒕
(𝟏𝟎𝟎)

7. MARK UP BASED ON SELLING PRICE
 The formula for the rate of markup
based on the selling price denoted by
Musp is given by
𝑀𝑢𝑠𝑝% =
𝑀𝑎𝑟𝑘𝑢𝑝
𝑆𝑒𝑙𝑙𝑖𝑛𝑔 𝑃𝑟𝑖𝑐𝑒
(100)

8. The cost of a new pair of shoes is ₱4,500.
The selling price is ₱7,000. What is the rate
of markup based on cost? based on selling
price?
𝑺 = 𝑪 + 𝑴𝒖, 𝒔𝒐 𝑴𝒖 = 𝑺 − 𝑪
= ₱7,000 - ₱4,500
𝑀𝑢 = ₱2,500

9. Computing for the rate of markup based
on cost,
𝑴𝒖𝒄 =
𝑴𝒖
𝑪
(100),
=
₱2,500
₱4,500
(𝟏𝟎𝟎)
=55.56%

10. Computing for the rate of markup based
on selling price,
𝑴𝒖𝒔𝒑 =
𝑴𝒖
𝑺𝑷
(𝟏𝟎𝟎),
=
₱2,500
₱7,000
(𝟏𝟎𝟎)
= 𝟑5.71%

11. Complete the table below:
No. Selling
Price
Cost Mark
up
Mu
cost
(%)
Mu
selling
price
(%)
1. ₱620 ₱580 ? ? ?
2. ? ? ₱150 15% ?

12. Complete the table below.
No. Old
Selling
Price
New
Selling
Price
Markdown Markdown
Rate(SPO)
Markdown
Rate(SPN)
1. ₱420 ₱380 ? ? ?
2. ₱320 ? ₱50 ? ?

13. Complete the table below.
No. Original
Selling Price
(SPo)
New
Selling
Price
(SPn)
Markdown
(Md)
Markdown
Rate(Md%)
1. ₱30 ₱25 ? ?
2. ₱15,000 ? ₱6,000 ?