Question

Question 2. If on an item a company gives 25% discount, they earn 25% profit. If they now give 10% discount then what is the profit percentage.
Options:
A. 40%
B. 55%
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C. 35%
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D. 30%​

Answer 1

A 40% is the answer to this question

Answer 2

Given:

If 25% discount is given, profit is 25%

To find:

Profit percentage on giving 10% discount

Solution:

The marked price(M.P), cost price(C.P), discount %(D) and profit %(P) can be related as-

M.P/C.P = (100+P)/(100-D)

So, in first case, we can write-

M.P/C.P = (100+25)/(100-25)

or, M.P/C.P = 125/75 = 5/3

In the second case, we can write-

M.P/C.P =( 100+P)/(100-10)

Substitution the value of M.P/C.P from the above relation:

5/3 = (100+P)/90

or 3(100+P) = 450

or 300+ 3P = 450

or 3P = 150

or P = 50

Profit percentage on giving 10% discount is 50%.

[ Options are incorrect]