The marked price of a radio is Rs 480. The owner allows a discount of 10% and still earns the profit of 8%. If no discount is allowed, find his gain percent?
Answer & explanation
Correct answer: option 4
The correct answer is Option 4: 20%
Market Price = 480
Selling price after discount of 10% = 480 - 10% of 480 = 432
Cost price (considering profit 8%) = \(\frac{ 432}{ 108}\) * 100 = 400
Now,
MP = 480
CP = 400
Gain % = \(\frac{\text{480 - 400} }{400 }\) * 100
Gain % = \(\frac{\text{80} }{400 }\) * 100
Gain % = 20%