Question

a shopkeeper offers a discount of 15% after marking up to 70% on the cost price. As a result his profit dropsd by rs.127.50. Find the cost price

Answer 1

Answer:

The cost price would be 500 rupees

Step-by-step explanation:

Let x be the cost price,

∵ Shopkeeper marked up the price to 70%,

So, the marked price = (100+70)% of cost price

= 170% of x

= 1.7x,

If the article is selling at marked up price,

Then, profit = 1.7x - x = 0.7x

Discount percentage is 15%,

So, the selling price = (100-15)% of 1.7x

= 85% of 1.7x

= 0.85 × 1.7x

= 1.445x,

Then, profit = 1.445x - x = 0.445x

According to the question,

0.7x - 0.445x = 127.50

0.255x = 127.50

⇒ x = 500

Therefore, the cost price would be 500 rupees.