Question
The price of an article marked at 30% above cost price
is sold at a profit of 25%. If it were to be sold at a discount of 25%, ind the percentage decrease in the selling price.Solution
Let the cost price of the article be x. Marked price = x + 0.30x = 1.30x Now, 0.25 = (SP – x)/x SP = 1.25x SP’ = 1.30x × 0.75 = 0.975x Change in SP = (1.25x – .0975x) × 100 ÷ 1.25x = 22%
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