CPM Homework Help : ACC7 Problem 9-48

Leonard has purchased packages of grid paper for $\$2.25$ . If he wants to make a $40\%$ profit on each package he sells to his classmates, by how much should he increase the price? What will the new price be?

Hint:

If Leonard wants to make a $40\%$ profit on each package, he needs to sell each package at $140\%$ of the original cost.

More Help:

Since the new price is $140\%$ of the original cost, $\$2.25$ , how much is the increase and what would the new price be?

Answer:

Increase: $\$0.90$
New Price: $\$3.15$