Question
A shopkeeper buys an article for Rs 800. He marks it 50%
above the cost price and allows a discount of 20% on the marked price. Find the selling price and the profit percentage.Solution
Cost Price (CP) = 800 Marked Price (MP) = CP × (1 + 50/100) = 800 × 3/2 = 1,200 Discount = 20% of MP = (20/100) × 1,200 = 240 Selling Price (SP) = MP − Discount = 1,200 − 240 = 960 Profit = SP − CP = 960 − 800 = 160 Profit % = (Profit / CP) × 100 = (160 / 800) × 100 = (1/5) × 100 = 20% Answer: SP = Rs 960, Profit% = 20%.
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