Question

A firm, dealing in furniture, allows $4\%$ discount on the marked price of each item. What price must be marked on a dining table which costs Rs.$400$ to assemble, so as to make a profit of $20\%$?

Answer 1

Profit given $=20\%$
Thus ,S.P $=$ $\frac{120\times 400}{100}=480$
Discount given $=4\%$
Then M.P $=$ $\frac{100}{100-discount}\times S.P$

So M.P $=$ $\frac{100}{100-4}\times 480$ $=$ $\frac{100}{96}\times 480$ $=500$ Rs

Hence, M'P $=$ Rs.$500$