Correct Answer - Option 2 : 12.5%
Given:
Let SP and CP be selling price and cost price of cloth (per meter) respectively.
If the profit made by a merchant on selling 45 m of cloth is equal to the selling price of 5m of cloth,
Calculation:
⇒ 45(SP − CP) = 5SP
⇒ 45SP − 45CP = 5SP
⇒ 40SP = 45CP
⇒ CP /SP = 40/ 45 = 8/9
Profit percentage = ( SP – CP )/Cp × 100 = ( 9 – 8 )/8 = 1/8 = 12.5%