The next year Dell enrolled at the University of Texas. Like most first-ye,u students, he needed to earn spending money. Just about everyone on campus was about personal computers. At the time, anyone who didn't have a PC wanted one, but dealers were selling them at a hefty mark-up . People wanted low-cost machines custom-made to their needs, and these were not readily available . Why should dealers get such a big mark-up for so little added value? Dell wondered. Why not sell from the manufacturer directly lo the end user?
Dell knew that IBM required its dealers to take a monthly quota of PCs, in most cases more than they could sell. He also knew that holding excess inventory was costly. So he bought dealers' surplus stock at cost. Back in his dormitory room, he added features to improve performance . The improved models found eager buyers. Seeing the hungry market, Dell placed local advertisements offering his customized computers at 15 percent of retail price. Soon he was selling to businesses, doctors' offices and law firms. The trunk of his car was his store, his room took on the appearance of a small factory.
During a holiday break, Dell's parents told him they were concerned about his grades. ''.If you want to start a business, do it after you get your degree," his father pleaded.
Dell agreed , but back in college he felt the opportunity of a lifetime was passing him by. "I couldn't bear to miss this chance," he says. After one month he stacted selling computers again-with a vengeance.

Read the first activity, read the extract and then do all the activities:
Vocabulary:
Find out the words from the extract which mean :
large amount added to the cost price

Explanation

hefty mark-up