Question
A shopkeeper allows a discount of 20% on the marked
price of an article and still makes a profit of 12% on the cost price. Had he allowed a discount of 30% on the marked price, his profit would have been Rs 21 less. Find the marked price of the article.Solution
ATQ, Let cost price = C, marked price = M. With 20% discount: Selling price S₁ = 0.8M = 1.12C …(1) With 30% discount: Selling price S₂ = 0.7M Difference in profit = S₁ − S₂ = 21 ⇒ 0.8M − 0.7M = 21 ⇒ 0.1M = 21 ⇒ M = 210 From (1): 0.8 × 210 = 1.12C 168 = 1.12C ⇒ C = 168 / 1.12 = 150 Answer: Marked price = Rs 210.
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