Subjects business math

Cow Price Calculation D4Ee46

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1. **Stating the problem:** A cow weighs 550 kg. The cost of production is 150 per kg. The cow loses 7% of its weight during transportation. The marketing price is 200 per kg. The owner wants to add a 35% profit above the cost of production. We need to calculate: A- Price after excluding pencil shrink (weight loss). B- Markup price. C- Margin price. D- Selling price. 2. **Calculate weight after loss:** Weight loss = 7% of 550 kg = $$550 \times 0.07 = 38.5$$ kg Weight after loss = $$550 - 38.5 = 511.5$$ kg 3. **Price after excluding pencil shrink:** Cost of production per kg = 150 Price after shrink = $$511.5 \times 150 = 76725$$ 4. **Markup price:** Markup is 35% above cost, so markup price per kg = $$150 + (0.35 \times 150) = 150 + 52.5 = 202.5$$ 5. **Margin price:** Margin price is profit as a percentage of selling price. Profit per kg = markup price - cost price = $$202.5 - 150 = 52.5$$ Margin percentage = $$\frac{Profit}{Selling\ Price} \times 100 = \frac{52.5}{202.5} \times 100 = 25.93\%$$ 6. **Selling price:** Selling price per kg = markup price = 202.5 Total selling price = $$511.5 \times 202.5 = 103323.75$$ **Final answers:** A- Price after excluding pencil shrink = 76725 B- Markup price per kg = 202.5 C- Margin price percentage = 25.93% D- Total selling price = 103323.75