A dealer of scientific instruments allows 20% discount and still makes a profit of 25%. If his gain on sale of an instrument is ₹ 150, then find the marked price of the instrument.
Answer & explanation
Correct answer: option 3
Let C.P of instrument =Rs.100
We have,
Profit =25% of Rs.100 = Rs.25
If profit is Rs.25,
C.P=Rs.100
∴ If profit is Rs.150,
C.P = Rs.100/25×150=Rs.600
S.P of the instrument =Rs.600 + Rs.150 = Rs.750
Let M.P of the instrument be Rs. 100
If S.P is Rs.80, M.P = Rs.100/80 × 750 = Rs.937.50
Thus, marked price of the instrument =Rs.937.50