Question

discount to the customers. Find mo
3. A shopkeeper wants to make a profit of 10.2% after allowing 5% discount to the cus-
tomers. What percent above the cost should he mark the price?​

Answer 1

Answer:

Let CP be the Cost Price and SP be the selling Price.

Profit=[SP-CP]/CP

0.102 =[(SP-.05SP)-CP]/CP

0.102=[0.95SP-CP]/CP

0.102CP=0.95SP-CP

0.102CP+CP=0.95SP

1.102CP=0.95SP

SP=[1.102CP]/0.95

SP=1.16CP as the selling price.

Therefore, the item must be increased to 16% for the Selling Price and offer 5 % discount, yet still gaining 10.2 % profit.