Question
A merchant offers a 30% discount on the listed price of
his goods and manages to secure a 40% profit on the cost. What is the ratio of the cost price to the marked price of the goods?Solution
Let the cost price be Rs. 100 So the selling price = Rs. 100 × 140% = Rs. 140 Marked Price = 140/70 × 100 = Rs. 200 Required ratio = 100:200 = 1:2 Hence, option a.
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