The profit earned on an article is 25%. If profit is calculated on the selling price, then what will be the profit percentage?
Answer & explanation
Correct answer: option 3
Profit earned is 25%
\(\frac{Profit}{CP}\) = \(\frac{1}{4}\)
SP = 4 + 1 = 5
Profit % on SP = \(\frac{1}{5}\) × 100 = 20%