Question

Amit pays 20% customs duty on a wine bottle that costs Rs. 4500 abroad. For how much should he mark it, if he desires to make a profit of 25% after giving a discount of 20% to the buyer?

• A. Rs. 8004.50
• B. Rs. 8145.50
• C. Rs. 8437.50
• D. Rs. 8548.50

Answer 1

The correct option is C Rs. 8437.50

Cost price for Amit $=4500+20$% of $4500=5400$
Desired SP for 25% profit $=1.25\times 5400=6750$
Now, This SP has to be 80% of the Marked price.
Thus, $0.8\times MP=6750$
$MP=Rs.8437.50$