Question

A shopkeeper allow a discount of 25% on the written price. How much percent about the cost price must he mark his goods so as to make a profit of 20% ?

Answer 1

lets take c.p. = 100 rs.
profit = 20%
so s.p. = 120rs.
Marked price - discount = s.p.
M.P. x (75/100) = 120
M.P. = 160 rs.
so he should mark m.p. 60% above the c.p.

Answer 2

Given:

Discount provided by the shopkeeper on the written price = 25%

Profit percentage earned by the shopkeeper.

To find:

Percentage of the cost price that the shopkeeper must mark his goods at.

Solution:

Let the cost price of the goods will be Rs. 100, then to make a profit of 20%, the shopkeeper needs to sell them at Rs. 120.

After the discount of 25%, the equation for the marked price of the goods will be:

Selling price = Market price - Discount

120 = MP - 25% of MP

120 = 0.75 MP

MP = 120/0.75

MP = Rs. 160

Thus, the shopkeeper needs to mark his goods 60% higher than the cost price so as to make a profit of 20%.