If the WAC is $49.56, the markup is 20%, and the dispensing fee is $10, what is the retail cost of Drug X?

To determine the retail cost of Drug X, it is essential to calculate the final amount based on the WAC (Wholesale Acquisition Cost), markup percentage, and dispensing fee.

First, begin by calculating the markup on the WAC. With a WAC of $49.56 and a markup of 20%, the markup dollar amount is calculated as follows:

Markup = WAC × (Markup Percentage)

Markup = $49.56 × 0.20 = $9.912

Next, add this markup to the WAC to find the cost before adding the dispensing fee:

Cost after markup = WAC + Markup

Cost after markup = $49.56 + $9.912 = $59.472

Now, include the dispensing fee of $10:

Retail Cost = Cost after markup + Dispensing Fee

Retail Cost = $59.472 + $10 = $69.472

Rounding this to the nearest cent gives a total of $69.46. Therefore, the retail cost of Drug X is correctly calculated as $69.46, which corresponds with the first option.

This calculation process outlines how the WAC, markup, and dispensing fee all play a role in reaching the final retail price of