Question

A person marks his goods x% above cost price and allows a discount of 30% on marked price. If profit is 5% then find the value of x.
1. 50%
2. 52%
3. 57%
4. 44%

Answer 1

Correct Answer - Option 1 : 50%

Given

Profit % = 5%

Discount% = 30%

Concept used

CP : MP = 100 - Discount : 100 + Profit

Calculation

CP : MP = 100 - 30 : 100 + 5

CP : MP = 70 : 105

CP : MP = 2 : 3

Markup% = (Markup / CP) × 100

Markup% = 1/2 × 100

Markup% = 50%

∴ The value of x is 50%.