Question

A dealer made a loss of 20 percent when selling a stock at 40 percent discount on the price if the dealer as decided to reduce the discount to 25 Percent on the list price, what is the percentage of profit/loss the dealer will make ?

Answer 1

5% will be correct answer

Hope it helps you

Answer 2

Let the marked price be x.

the selling price at discount is :

0.6x

This yields 20% loss.

This implies that the cost price is :

100/80 × 0.6x = 0.75x

If it is sold at 25% discount the selling price will be :

0.75x

here the selling price equals to the cost price hence no profit nor loss.

The answer is thus 0%