The marked price of an item is 25% more than its selling price. The selling price of the same item is 20% more than its cost price. The marked price of that item is what percentage more than its cost price?
Answer & explanation
Correct answer: option 3
Let the cost price of the article = 100
according to the question,
Profit = 20%
Selling price of the article = 120
and it is given that the marked price of the article is 25% more than the selling price so,
100% of SP = 120
125% of the SP = 150 = Marked perice
Markup % = ( 150 - 100) × \(\frac{100}{100}\) = 50%