After a Reduction of 8 1/3% of the Marked Price

question 209

Essay

After a reduction of 8 1/3% of the marked price, a snowboard sold for $400.00. What was the marked price?

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Definitions:

Sensitivity Analysis

A technique in financial modeling used to determine how different values of an independent variable affect a particular dependent variable under a given set of assumptions.

Variable Costs

Costs that vary directly with the level of production or volume of sales, such as materials and labor.

Fixed Costs

Costs that do not vary with the level of production or sales, such as rent, salaries, and insurance premiums, providing stability to a company's expense structure.

Depreciation Expense

The allocated amount of the cost of an asset that is written off as an expense over its useful life.