Question
A retailer marks up an item's cost price by 40% and then
offers it for sale with a 20% discount. What is the percentage profit made by the retailer on this sale?Solution
Let the cost price of the article be Rs. '100x'. So, selling price of the article = 100x X 1.4 = Rs. '140x' So, gain earned by the seller = 140x X 0.8 = Rs. '112x' So, gain percentage = {(112x - 100x) /100x} X 100 = 12% Hence, option d.
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