Question

A trader deals in face mask. He marks up his goods 25% above the cost price and sells them at a discount of 10%. Find his gain percent.
1. 12.5%
2. 14.5%
3. 16.5%
4. 17.5%

Answer 1

Correct Answer - Option 1 : 12.5%

Given:

Discount percent = 10

Market price = cost price + 25% of cost price

Formula used:

Profit = selling price – cost price

Selling price = market price – discount

Calculation:

Let the cost price is Rs. 100

So, Market price is Rs. 125

Selling price = Rs. 125 – 10% of 125

⇒ Rs. 112.5

Profit = 112.5 – 100

⇒ Rs. 12.5

Profit% = [(12.5/100) × 100]%

∴ The gain percent is 12.5%