A merchant sells an item at a 20 percent discount. but still makes a gross profit of 20 percent of ...
A merchant sells an item at a 20 percent discount. but still makes a gross profit of 20 percent of the cost.What percent of cost would be gross profit on the item have been if it had been sold without the discount?
Answer/Solution
50%
Steps/Work
Let the S.P. be 100 Rs.
on giving 20 % discount,,S.p. will be 80Rs.
Profit %=profit*100/C.P.
20=profit*100/C.P.
C.P.=5*profit
C.p.=5*(s.p.-c.p.)
c.p.=5*(80-c.p.)
(c.p./5)+c.p.=80
c.p.=66.66Rs
At no discount,S.P.=100Rs.
C.P.=66.66Rs.
Profit=33.34
Profit%=profit*100/c.p
=33.34*100/66/66
Profit%=50
ANSWER:C
on giving 20 % discount,,S.p. will be 80Rs.
Profit %=profit*100/C.P.
20=profit*100/C.P.
C.P.=5*profit
C.p.=5*(s.p.-c.p.)
c.p.=5*(80-c.p.)
(c.p./5)+c.p.=80
c.p.=66.66Rs
At no discount,S.P.=100Rs.
C.P.=66.66Rs.
Profit=33.34
Profit%=profit*100/c.p
=33.34*100/66/66
Profit%=50
ANSWER:C