Question
A trader marks an article at Rs 1,000. He allows a
discount of 10% and still makes a profit of 20% on the cost price. Find the cost price of the article.Solution
Marked Price (MP) = 1,000 Discount 10% ⇒ SP = 1,000 × 0.90 = 900 Let cost price = C. Profit 20% ⇒ SP = 1.20C So: 1.20C = 900 C = 900 / 1.20 = 750 Answer: Cost Price = Rs 750.
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