Astore sells ladders. • the retail price was a 40 percent markup over the manufacturer price. • a month later, the store reduced the retail price of the ladder by 25 percent. what percent markup is the new retail price over the manufacturer price?

For this item, we represent the very original value or price of the given item by x such that increasing the retail price by 40 percent will give us 1.4x. Also, when the retail price of the item is reduced by 25 percent, we have.
                          new retail price = 1.4x (1 - 0.25) = 1.05x. 
This means that the new retail price is only 5% over the manufacturer price. 

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