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General Retail Business Issues/how do I determine retail price on a wholesale jewelry piece


G Lang wrote at 2012-11-30 21:39:23
Hopefully this simplifies that last answer...

If you're not too good with math, skip down to the step-by-step for an easier explanation...

The formula is:

Cost (1-(markup percentage)) = selling price

example: $5 (1 - 0.75) = $20

        $5 0.25 = $20


If you want to come up with a price that includes a mark up of 75%, do this:

Step 1:

(Convert percentage to decimal by moving decimal left 2 places/digits)


25% = 0.25

50% = 0.50

60% = 0.60

75% = 0.75  <===(our example)

(if you want a mark up of 100% or more, you will need a different equation)

Step 2 (using our example of 75%):

(Subtract that number from 1 (the 1 means 100%))

1 - 0.75 = 0.25

Step 3:

Divide your cost ($5) by that number (0.25)

$5 0.25 = $20

$20 is what you need to sell it for to get $15 profit (which is a 75% mark up)

General Retail Business Issues

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James E. Dion


Most questions about trends in specialty retail, how customers are changing both in the US and Europe. Demographics for all countries as they relate to retail trends and issues. Store Operations, Buying and Merchandising.


Over 40 years in the retail industry, store level, store manager, buyer, merchandise manager, Vice President.

BS Psychology, MS Psychology, PhD(abd) Industrial Psychology Illinois Institute of Technology

Past/Present Clients
Microsoft, Harley-Davidson, Ritz-Carlton, Hummer, Williams-Sonoma, Ace Hardware, Coleman Spas, Aldo, Intel, Dell, Safeway, New Balance, IBM, Kodak, Bata International, Nortel Networks, Honey Baked Ham Co., Man Alive, Highsmith
B.S Chicago State University M.S. Chicago State University PhD (abd) Illinois Institute of Technology

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