Practicing Success

Target Exam

CUET

Subject

General Test

Chapter

Numerical Ability

Topic

Profit and Loss

Question:

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?

Options:

6.25 %

8.33%

12.5%

15%

Correct Answer:

12.5%

Explanation:

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 %