A distributor sells a product through an online store, which take a commission of 20% of the price set by the distributor. The distributor obtains the product from a producer at the price of $19 per item. What is the price that the buyer observers online if the distributor wants to maintain a 20% profit on the cost of the item?
Pick:
A) $27.50 B) $28.50 C) $29.50 D) $30.50 E) $31.50
Let x be the price that buyers see online.   The distributor wants to receive 1.2(original price) which should be 80% of x.   1.2(19) = 0.8x   x = 1.2(19) / 0.8 = 1.5(19) = $28.50   The answer is $28.50.
<result>B</result>
A distributor sells a product through an online store, which take a commission of 20% of the price set by the distributor. The distributor obtains the product from a producer at the price of $19 per item. What is the price that the buyer observers online if the distributor wants to maintain a 20% profit on the cost of the item?