what is definition of selling price and formula
Answer (1)
The selling price is the amount a customer pays to buy a product or service. It is the final price after considering costs, profits, and any discounts.The selling price is the actual price at which a product or service is sold to the buyer. It covers the cost of production or purchase and includes a profit margin for the seller.Formula:When there is a profit: [tex]\begin{gathered}\begin{gathered}\text{Selling Price (SP)} = \text{Cost Price (CP)} + \text{Profit}\end{gathered}\end{gathered}[/tex]or [tex]\begin{gathered}\begin{gathered}\text{SP} = \text{CP} \times \left(1 + \frac{\text{Profit \%}}{100}\right)\end{gathered}\end{gathered}[/tex]When there is a loss: [tex]\begin{gathered}\begin{gathered}\text{SP} = \text{CP} - \text{Loss}\end{gathered}\end{gathered}[/tex]or [tex]\begin{gathered}\begin{gathered}\text{SP} = \text{CP} \times \left(1 - \frac{\text{Loss \%}}{100}\right)\end{gathered}\end{gathered}[/tex]Where:CP = Cost Price (how much it costs to make or buy the product)Profit or Loss = the amount or percentage added or subtracted to arrive at the selling priceExample:If the cost price of an item is ₱100 and the seller wants a 20% profit: [tex]\begin{gathered}\begin{gathered}SP = 100 \times \left(1 + \frac{20}{100}\right) = 100 \times 1.20 = 120\end{gathered}\end{gathered}[/tex]
