Question

A wholesaler sells goods to a retailer at profit of 20%. The retailer sells to the customer, who pays 80% more than the cost of the wholeseler. What is the retailer's profit?

Answer 1

Let the cost of the good is - 100 Rs.

Wholesaler sells it at 20% more - 100 + 20%

So, the 20% of 100 is 20.

Hence, 20 RS. is the profit of the wholesaler.

Now,

The retailer sells the good 80% more than the wholesalers price.

So, 120 rs. + 80% more.

We have to find the 80% of 120 RS.

80/100 × 120
= 96 RS. more.

Therefore, the retailers profit is 100%.

Hope it helps...

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