Question

What price should a trader mark on an article which cost him Rs.1080 so as to gain
25% after allowing a discount of 25%.
PLS SHOW WORKING AND PROPER ANSWERS ONLY​

Answer 1

Cost price of an article = Rs.1080

Percentage of profit that needs to be attained =25%

So, to get a profit of 25%, the price of the article should be:-

$= 1080 + \frac{25}{100} \times 1080$

$= 1080 + \frac{25 \times 1080}{100}$

$= 1080 + \frac{27000}{100}$

$= 1080 + 270$

$=\bold{Rs.1350}$

Thus, to get a profit of 25% the selling price of the article should be=Rs.1350

To keep the profit percentage as 25% after a discount of 25%, the marked price of the article should be:-

$= 1350 + \frac{25}{100} \times 1080$

$= 1350 + \frac{25 \times 1080}{100}$

$= 1350 + \frac{27000}{100}$

$= 1350 + 270$

$=\bold{ Rs. 1620}$

Thus, the marked price of the article should be=Rs.1620

Now let us check whether or not we have found out the correct marked price by checking if or not applying a discount of 25% on 1620 gives the result as 1350 :-

$= 1620 - \frac{25}{100} \times 1080$

$= 1620 - \frac{27000}{100}$

$= 1620 - 270$

$=\bold{Rs.1350}$

As applying a discount of 25% still gives a profit of 25%, we can conclude that we have found out the correct marked price.

Therefore, the price the trader should mark on the article=Rs.1620