So Cost plus Markup = Regular Price

Cost × (1.7) = 1845.24 → Cost = 1845.24 / 1.7 = 1085.43

Sale Price = 1845.24 × 0.6 = 1107.14 (also 1845.24-738.10=1107.14)

Profit does need to consider overhead, so:

Cost plus Overhead = 1085.43 × 1.5 = 1628.14

Profit WAS 1845.24-1628.14=217.1

Profit IS NOW 1107.14-1628.14=-521 (521 LOSS)

To see why, remember that to mark it up 70%, the store multiplied the cost by 1.7. Algebraically,

P = 1.7*C

So, to go back to the cost from the price, just do the opposite: divide by 1.7. Algebraically, you solve for C:

C = P/1.7

Cost| Overhead| Markup| Regular Price| Rate of Markdown| Sale reduced| Profit Reduced

? 50% 70% 1845.24 60% 738.10 ?

I just need the technique to find the cost.

Appreciated the help from mathisfun.