Question

An uneducated retailer marks all his goods at 50% above the cost price and thinking that he will still make 25% profit, offers a discount of 25% on the marked price. What is his actual profit on the sales?

• A. 11%
• B. 12%
• C. 12.50%
• D. 13.50%

Answer 1

The correct option is C 12.50%

Let Cost Price=100 Rs.
then Marked Price=150 Rs.
S.P.=75% of 150
$\Rightarrow \frac{75}{100}\times 150=112.5Rs.$
Now actual %profit on the sales=$\frac{112.5-100}{100}\times 100=12.5$