Question

An article listed at Rs.800 is sold at successive discounts of 25% and 15%. The buyer desires to sell it off at a profit of 20% after allowing a 10% discount. What would be his list price ?

• A. Rs.620
• B. Rs.600
• C. Rs.640
• D. Rs.680

Answer 1

The correct option is D Rs.680

M.P. = Rs.800

C.P. of the buyer = 75% of 85% of Rs.800

$=\frac{75}{100}\times \frac{85}{100}\times Rs.800=Rs.510$

Profit = 20%
$\therefore$ S.P. of the buyer $=Rs.\left(\frac{510\times 120}{100}\right)=Rs.612$

Discount = 10%
$\therefore$ List price of the buyer $=Rs.\left(\frac{612\times 100}{90}\right)=Rs.680$