Question

A trader marks his goods 40% above the cost price.He sells them at a discount of 20%.What is his loss or gain percentage?


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Answer 1

Let, the C.P. be, 'x'

40% of x = 40x/100

              = 2x/5

M.P. = x+2x/5

      =(5x+2x)/5

      = 7x/5

20% of 7x/5= (7x/5)*(20/100)

                  = 7x/35

S.P. =(7x/5)-(7x/35)

     =(35x-7x)/35

     =28x/35

     =4x/5

Equating the denominators of the fractions

x=x/1 =x*5/1*5

       = 5x/5

Since, 5x> 4x or C.P>S.P. so, there is loss.

Loss = (x-4x/5)

        =(5x-4x)/5

        =x/5

Loss% = {(x/5)/x}*100

           =(x*100/5*x)

           = 20%