Contracts & ExecutionQuestion 154 of 1632
A contractor wants a 30% markup on a job whose costs are $50,000. What selling price should the contractor bid?
a.$53,000
b.$60,000
c.$65,000
d.$71,400
Explanation
Markup is added to cost: selling price = cost x (1 + markup) = $50,000 x 1.30 = $65,000. The $15,000 difference is the gross profit on the job.
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Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)