Question

A trader mark an article 22% above the cost price and sell it at a discount of 50%. Find his gain or loss percentage.
1. Loss 39%
2. Profit 50%
3. Loss 25%
4. Profit 25%

Answer 1

Correct Answer - Option 1 : Loss 39%

Given

market price = cost price + 22% of cost price

Formula used

Selling Price = Market price - Discount

If the selling price is less than the cost price, it's a loss.

Loss = Cost price - Selling price

Loss% = (loss/cost price) × 100

Calculation

Let the cost price is Rs.100

Market price = 100 + 22% of 100

⇒  Rs 122

Discount = 50% of 122

Selling Price = 122 - 61

⇒ 61

Loss = 100 - 61

⇒ 39

Loss% = (39/100) × 100

⇒ 39%

∴ The loss is 39%.