Practicing Success
A trader weights 10% less than it should be and still the trader marks up his goods to get a profit of 25%. What is the markup on cost price? |
6.25 % 8.33% 12.5% 15% |
12.5% |
Let the cost before weight adjustment = 100 Cost after 90% weight adjustment = 90 25 % profit on 90 = 90 × \(\frac{125}{100}\) = 112.5 Mark up on cost price = \(\frac{112.5 - 100}{100}\) x 100 = 12.5 % |