Mohan offers to sell his articles at a discount of 20%, but he marks his articles by increasing the price of each by 35%. What percentage would his gain be?
Answer & explanation
Correct answer: option 3
Let the marked price of the article = 100
Markup = 35%
Marked price = 135% of 100 = 135
Discount = 20%
Selling price of the article = 80% of 135
80% of 135 = 108
Profit = 108 - 100 = 8
Profit% = 8 × \(\frac{100}{100}\) = 8%