Item 20 a store pays $40 for a scanner. the store sells the scanner for $90. your classmate says that the markup is 225% because $90/$40=2.25. is your classmate correct?

If we take 40 to be the 100%, what is 90 off of it in percentage?



well, it turns out the 90 is indeed the 225% of 40.

however, markup is the "added amount to the original price", now, the added amount wasn't 90, was 50 bucks, and that is NOT 225% of 40, is actually 125% added, and therefore the markup rate.