Question 63

The marked price of an article is 25% more than its cost price. If 10% discount is given on the marked price, then what is the profit percentage?

Solution

Let the cost price of the article = C

Given, Marked price of the article is 25% more than its cost price

$$\Rightarrow$$  Marked price of the article = $$\frac{125}{100}$$C = $$\frac{5}{4}$$C

Discount% = 10%

Selling price of the article = $$\frac{90}{100}\times\frac{5}{4}$$C = $$\frac{9}{8}$$C

$$\therefore\ $$Profit Percentage = $$\frac{\frac{9}{8}C-C}{C}\times100=\frac{1}{8}\times100=$$ 12.5%

Hence, the correct answer is Option A


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