Question

if a shopkeeper offers a discount of 20% on
the list price of an washing machine, then he
makes a profit of 12%. What percent profit
or loss will he make if he sells it at a discount
of 25% on the list price?
(a) 0.6% loss (b) 0.5% profit
(c) 4.25% loss (d) 5% loss
(e) 5% profit​

Answer 1

Given : Discount = 20%

Profit = 12%

To find : Percent of profit if discount is 25% = ?

Solution :

Let the cost price be 100

So, Selling price would be :

$\dfrac{100+12}{100}\times 100=112$

Let the marked price would be 'x'

Discount = 20%

So, Selling price would be

$\dfrac{100-20}{100}\times x=\dfrac{80}{100}x$

According to question, it becomes:

$\dfrac{80}{100}x=112\\\\x=\dfrac{112\times 100}{80}\\\\x=140$

So, if discount = 25%

Then, selling price would be

$\dfrac{100-25}{100}\times 140\\\\=\dfrac{75}{100}\times 140\\\\=105$

So, profit = $105-100=5\%$

Hence, Option 'e' is correct.