Question

By selling an umbrella for Rs. 30, a merchant gains 20%. During a clearance sale, the merchant allows a discountof 10% on the marked price (the price at which he used to sell). Find his gain%.

• A. 2 %
• B. 4 %
• C. 6 %
• D. 8 %

Answer 1

The correct option is D 8 %

We have
$\frac{S_1}{100+x_1}=\frac{S_2}{100+x_2}$

$\frac{30}{100+20}=\frac{90\%of30}{100+x_2}$

($\because$ 10 % discount allowed)

$\frac{30}{100+20}=\frac{27}{100+x_2}$

$x_2=108-100=8$%