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CIPS Exam L4M5 Topic 6 Question 75 Discussion

Actual exam question for CIPS's L4M5 exam
Question #: 75
Topic #: 6
[All L4M5 Questions]

A supplier's mark-up on all products is 25%. Supplier's profit margin is...?

Show Suggested Answer Hide Answer
Suggested Answer: A

LO 2, AC 2.1


Contribute your Thoughts:

Raymon
9 days ago
This question is a real head-scratcher. I'm going to go with B) 30% just because it sounds more plausible than the others. Or maybe I should just roll the dice and pick randomly...
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Viva
12 days ago
Definitely A) 20%. Anything higher than that and the supplier would be gouging their customers. 25% mark-up, 20% profit margin, simple math.
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Bernardine
15 days ago
But if the mark-up is 25%, then the profit margin would be 30%
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Valda
16 days ago
I disagree, I believe the answer is A) 20%
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Laticia
17 days ago
D) 15% has to be the answer. I mean, who would sell stuff at a 75% profit margin? That's highway robbery!
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Rosendo
13 days ago
D) 15% has to be the answer. I mean, who would sell stuff at a 75% profit margin? That's highway robbery!
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Bernardine
21 days ago
I think the answer is B) 30%
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Kenneth
26 days ago
Gotta be C) 75%. I mean, if the mark-up is 25%, the profit margin has to be way higher than that, right? Anything less would be a rip-off!
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Octavio
15 days ago
A) 20%
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Ryan
1 months ago
I think the answer is B) 30%. You can't have a 25% mark-up and a 20% profit margin, that just doesn't make sense.
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