Question
An item is marked at 25% above its cost price. A
discount is given on the marked price, and the profit earned from selling the item is three-fifths of the discount given. If the profit is ₹126, what is the marked price of the item?Solution
Profit = SP - CP = 126
SP = 126 + CP
Then, discount = 126 * 5/3 = 210
MP = SP + 210
Also, MP = 125% of CP
Then, 125% of CP = SP + 210
SP = 1.25CP - 210 = 126 + CP
CP = 1344
Therefore, MP = 1.25 * 1344 = Rs.1680
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