Question
A shopkeeper give 4 articles free on the purchase of
every 12 articles. He also allows a discount of 20% to customer and still earns 20% profit. Find the ratio of cost price to mark price of the article.Solution
Buy 12 get 4 free,% discount offered = [4/(12 + 4)] ×100 = 4/16×100 = 100/4 = 25% So final Offer(discount) = Buy 12 get 4 free + 20% discount = 25% discount +20% discount So net discount = a + b - ab/100 = 25 +20 – (25 × 20/100) = 45 – 5 = 40% Let MP = 100 SP = (100-40% discount on MRP ) = 100 -40 = 60 Profit = 20% = 1/5 So CP = 50 CP∶ MP = 50∶ 100 = 1∶ 2 Alternate Method 
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