If a Retailer Buys Shirts for $8 from a Supplier

question 296

True/False

If a retailer buys shirts for $8 from a supplier and then sells them for $15 to customers, the markup percentage is 87.5 percent.

---

Definitions:

Heuristics

Simple, efficient rules or methods that people often use to form judgments and make decisions, based on limited information.

Utility-Maximizing

A principle or approach in economics that suggests individuals allocate their resources in a way that maximizes their satisfaction or utility.

Heuristics

Mental shortcuts or rules of thumb that simplify decision-making processes, often at the cost of perfect accuracy or thoroughness.

Self-Serving Bias

A common tendency for individuals to attribute their successes to internal factors while attributing failures to external factors.