Question

A shopkeeper sells an article at Rs. 2700 after allowing a discount of 25% and earns a profit of 8%. If no discount is offered, find his profit percentage?
1. 42%
2. 44%
3. 40%
4. 50%

Answer 1

Correct Answer - Option 2 : 44%

Given:

SP of article = Rs. 2700

Discount offered = 25%

Profit earned = 8%

Concept:

If no discount is offered on marked price, that means the article is sold at marked price.

Formula used:

CP/MP = (100 - Discount)/(100 + Profit %)

Profit % = [(SP - CP)/CP] × 100

Calculation:

∵ CP/MP = (100 - Discount)/(100 + Profit %)

⇒ CP/MP = (100 - 25)/(100 + 8)

⇒ CP/MP = 75/108

⇒ CP/MP = 25/36

∴ Let, CP = 25y

and MP = 36y

∴ Profit % = [(36y - 25y)/25y] × 100

= 11 × 4

= 44%