A store is selling a hat at a 55 percent markup. The store originally paid 16 dollars for the hat. What is the retail price of the hat?

A 55% markup means the store adds 55% of the $16 cost to the original price. The markup is 0.55 × $16 = $8.80, so the retail price is $16 + $8.80 = $24.80. The correct choice is $24.80.

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