Question
A shopkeeper sets the sale price of an item at 50% above
the cost price. He then offers a 25% discount on the market price. What is his percentage profit?Solution
Let CP = 100. MP = 150% of CP = 150. SP after 25% discount = 150×75/100 =112.50. Profit = 112.50-100=12.50. Profit percentage = 12.5%. BY formula – MP /CP = (100+P/L)/(100-D) 150/100 =(100+P)/75 400+4P =450 4P=50 P=12.5%.
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