Question

by what percent above the cost price should a dealer mark a pen so that after allowing a discount of 4 percent he gains 20 percent

Answer 1

Answer:

Let MP = 100

Disc = 26% = 26

SP = 74

CP = 74/120 x 100 ≈ 61.67

He must mark up his goods by :

(100 - 61.67)/61.67% = 62.15% of CP

Check :

CP = 61.67

Markup 62.15% = 38.33

MP = 100

Discount 26% = 26

SP = 100 - 26 = 74

P = 74 - 61.67 = 12.33

Profit % = 12.33/61.67 x 100 = 20%

:-)