Which of the following refers to the difference between the sale price and cost of inventory?
Markup refers to the difference between the sale price and cost of inventory.
Markup is the amount of money added to the cost of the product.
Markup amount is the difference between the selling price and the purchase cost of an item; also purchase cost times markup percentage.
Markup percentage or gross margin A percentage amount added to the purchase cost of merchandise to ensure a profit; markup amount divided by the cost times 100.
Markup price Purchase cost plus markup amount; becomes the selling/retail price.