Question
An article has a marked price of Rs 800. A shopkeeper
buys it at a discount of 20% on the marked price and then marks its selling price so as to gain 25% on his cost price. At what price does he sell the article?Solution
Marked price = 800 First discount 20%: Cost Price (CP) = 800 × (80 / 100) = 800 × (4 / 5) = 640 He wants 25% profit on CP: Selling Price (SP) = 640 × (125 / 100) = 640 × (5 / 4) = 160 × 5 = 800 Answer: Rs 800
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