It costs \( \$ 6,500 \) to manufacture a Jet Ski. If the desired percent markup based on cost is \( 45 \% \), how much should each Jet Ski sell for? Select one: a. \( \$ 1,880 \) o b. \( \$ 8,288 \) o c. \( \$ 9,425 \)

To find the selling price with a 45% markup on the manufacturing cost, first calculate the markup amount. This is done by multiplying the cost (\$6,500) by the markup percentage (0.45): Markup = \( 6,500 \times 0.45 = 2,925 \) Now, add the markup to the cost to find the selling price: Selling Price = Cost + Markup Selling Price = \( 6,500 + 2,925 = 9,425 \) So, the correct answer is (c) \( \$ 9,425 \). Now let's have some fun with a little extra info! Did you know that Jet Skis actually started off as a way to make personal watercraft more accessible? The first Jet Ski was developed in the 1970s, and they’ve evolved into high-powered machines that can reach thrilling speeds. Today, they’re not just for recreation; their versatility extends to rescue operations and law enforcement, making them a critical tool on the water! When pricing products like a Jet Ski, be careful not to overlook hidden costs! Common mistakes in markup calculations include forgetting to account for additional factors like taxes, shipping, or future discounts. Always ensure you factor in all costs to achieve a sustainable profit margin!