Question

a shopkeeper earns 20% profit on selling price. what is his profit on cost price?​

Answer 1

Answer:

Profit% on the cost price is 25%.

Answer 2

Answer:

Let the selling price be 100x

⇒ Profit = 20% of the selling price

⇒ Profit = 20% × 100x = 20x

⇒ Cost price = selling price – Profit

⇒ Cost price = 100x – 20x = 80x

⇒ Profit% on the cost price = (profit/cost price) × 100

⇒ Profit% on the cost price = (20x/80x) × 100

⇒ Profit% on the cost price = 25%

∴ Profit% on the cost price is 25%