Sonic Boom obtained a stereo system for $2400 less 30% and 15%. The store’s pricing is based on overhead expenses of 40% of cost. The “regular price” of the stereo system is set so that, if it is sold in a “20% off ” sale, the store’s operating profit will be 25% of cost.
a. What is the “regular price?”
b. In a Midnight Madness Special, the system was sold at a “1/3 off ” special price. What was the profit or loss at the special price?