Question

The ratio of cost price to marked price of a product is 4 : 7. If the shopkeeper does not give any discount then what will be his profit percentage?

1. 25%
2. 66.66%
3. 75%
4. 33.33%

Answer 1

Correct Answer - Option 3 : 75%

Given:

The ratio of cost price to marked price of a product is 4 : 7.

Formula used:

Percentage profit = (SP – CP) × 100 / CP = Profit × 100 / CP

Calculation:

∴ CP : MP = 4 : 7

Now, Discount is always given on marked price, so if there is no discount then Marked price = Selling price = SP

Thus, CP : SP = 4 : 7

That is, Profit = SP – CP = 7 – 4 = 3

∴ Profit% = [Profit × 100] / CP = [3 × 100] /4 = 75%