marked price of a product is 5% more than the cost price. if the shopkeeper gives a discount of 5%,then he made profit or loss
Answers
Answer:
He has made a loss of 0.25%
Step-by-step explanation:
Let CP be the cost price
Let MP be the marked price
Let SP be the selling price
MP = CP + 5% of CP
= CP + (5/100)*CP
= CP + 0.05*CP
= (1 + 0.05)*CP
= 1.05*CP ........(i)
On the marked price, the shopkeeper gives a discount of 5%. This means,
SP = MP - 5% of MP
= MP - 0.05*MP
= (1 - 0.05)*MP
= 0.95*MP .........(ii)
From (i), MP = 1.05*CP, thus,
SP = 0.95*1.05*CP
= 0.9975*CP
As we can see, SP < CP. Thus, the shopkeeper makes a loss.
Loss = CP - SP
= CP - 0.9975*CP
= 0.0025*CP
Loss% = 100*(Loss/CP)
= 100*(0.0025*CP/CP)
= 100*0.0025
= 0.25
The loss made by the shopkeeper is 0.25%
Answer:
the shopkeeper is in a loss