Question

A shopkeeper marks his goods 20% above cost price but allows 5% discount for each payment find what he gains on an article for which he charges rs.9.50? please help me in this question

Answer 1

Suppose the cost price be Rs 100. He adds 20%. So the price becomes 120. Then he allows 5% discount. 120 x 95/100 = 114. So he gets a profit of 14%. So he gets Rs 9.50 per item including the profit. So the cp may be 9.50 x 100/114 = 8.33 So gets 9.50-8.33 = Rs 1.17 (appx) rofit per item.