If a commission of 20% is given on the marked price of a

Solution

Let CP = Rs 100 SP = 100 + 40 = Rs. 140 Commission = 20% MP = 100 × 140/80 = Rs. 175 Now, MP = Rs. 175 and Commission = 24% SP = 76% of 175 = 76/100 × 175 = Rs 133 Gain % = 133 – 100 = 33 % Alternate method: Let MP = 100, commission = 20. So SP = 80 & gain = 40% = CP × 140% Now MP = 100, commission = 24, So SP = 76 , let gain = x% = CP(100+x)% So taking the ratio of SP & Gain %, Gain%/SP =140/80 = 100 + x/76 or 100 + x = 133 or x = 33 Hence new profit % = 33