Question 20

A shopkeeper allows 20% discount on his advertised price and to make a profit of 25% on his outlay. What is the advertised price (in Rs.) on which he gains Rs.6000?

Solution

solution

let MP(marked price) = rs 100

discount = 20% of MP = rs 20

Selling price (SP) = rs 80

SP = 125% of CP = $$\frac{125}{100} \times$$CP

80=$$\frac{125}{100} \times$$CP

CP =$$\frac{100}{125} \times$$80

CP = rs  64

gain = 80- 64 = rs16

now real gain = 6000

16 = 6000

1 = 375

MP = rs 100 = 100 $$\times$$ 375 = 37500