Question 60

A merchant allows a discount of 10% on marked price for the cash payment. To make a profit of 17%, he must mark his goods higher than their cost price by

Solution

Let Cost price = Rs. 100

Profit % = 17%

=> Selling price = $$100+(\frac{17}{100}\times100)$$

= $$100+17=Rs.$$ $$117$$

Discount % = 10%

=> Marked price = $$\frac{117}{(100-10)}\times100$$

= $$13\times10=Rs.$$ $$130$$

$$\therefore$$ Markup % = $$\frac{(130-100)}{100}\times100=30\%$$

=> Ans - (A)

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