Question
A shopkeeper buys an article for
₹500. He marks it 40% above the cost price and allows two successive discounts of 10% and 5% on the marked price. Find the selling price and and his profit percentage.Solution
ATQ,
Cost price (CP) = ₹500 Marked price (MP) = 500 × 1.40 = ₹700 First discount 10%: Price after first discount = 700 × 0.90 = ₹630 Second discount 5%: Selling price (SP) = 630 × 0.95 = ₹598.50 Profit = SP − CP = 598.50 − 500 = ₹98.50 Profit % = (Profit / CP) × 100 = (98.50 / 500) × 100 = 19.7% Hence, SP = ₹598.50 and profit ≈ 19.7%.
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