A shopkeeper earns a profit of 40% on the cost price of an article after giving three consecutive discounts of 5%, 10% and 15% to a customer. What would have been the profit percentage, had the shopkeeper given discounts of 5% and 10% only?
Answer & explanation
Correct answer: option 3
+ 40% = \(\frac{7}{5}\)
- 5% = \(\frac{19}{20}\)
- 10% = \(\frac{9}{10}\)
- 15% = \(\frac{17}{20}\)
ATQ,
MP × \(\frac{19}{20}\) × \(\frac{9}{10}\) × \(\frac{17}{20}\) = C.P. × \(\frac{7}{5}\) = S.P.
If only 5% and 10% discount are given, then
MP × \(\frac{19}{20}\) × \(\frac{9}{10}\) = C.P. × \(\frac{7}{5}\) × \(\frac{20}{17}\) = S.P.
C.P. × \(\frac{28}{17}\) = S.P.
⇒ C.P. : S.P. = 17 : 28
Profit = 28 - 17 = 11R
Profit percent = \(\frac{11}{17}\) × 100% = 64.70%