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In summers, the meter scale of cloth merchant expands by 25%. By what percentage should he mark up the cloth so that even after giving 10% discount on list price, merchant earns a profit of 8%
let Rs. 100 be at the cost of 100cm. Now the shopkeeper will sell 125cm at the cost of 125
CP - 125, Profit% is 8%
i.e. profit / 125 * 100 = 8
profit = 10, SP = 135
MP is 1/9 more than SP
so MP = SP + 135/9 = 15
MP = 150
Now markup is happening on 100, so increase in 50%
let 100 cm cost 100 rupees, now scale expanded so he is giving 125 cm, so his CP is 125. He is selling to the customer saying it is 100 cm, so he needs to increase the price. Let the MP be x. Then after discount his SP is 0.9x . 0.9x = 125(1.08), so x is 150. Now the markup will happen from 100 not 125, because he is still selling saying it is 100 cms, so he will increase price on that itself. So markup is 50 percent.
