a shopkeeper marks his goods 20% higher than the cost price and allows

1.	a shopkeeper marks his goods 20% higher than the cost price and allows a discount of 5%. the percentage of his profit is
Answer» Define x: Let the COST PRICE of the GOODS be x Find the selling price with 20% GAIN: Gain = 20% of x = 0.2x Selling Price = x + 0.2x = 1.2x Find the selling price after 5% DISCOUNT: Discount = 5% of 1.2x = 0.05(1.2x) = 0.06x Selling Price after discount = 1.2x - 0.06x = 1.14x Find the gain: Gain = Selling Price - Cost Price Gain = 1.14x - x = 0.14x Find the gain percentage: Gain percentage = (gain ÷ cost price) x 100 Gain percentage = (0.14x ÷ x) x 100 Gain percentage = 14% Answer: The profit is 14%

a shopkeeper marks his goods 20% higher than the cost price and allows a discount of 5%. the percentage of his profit is

Answer»

Define x:

Let the COST PRICE of the GOODS be x

Find the selling price with 20% GAIN:

Gain = 20% of x = 0.2x

Selling Price = x + 0.2x = 1.2x

Find the selling price after 5% DISCOUNT:

Discount = 5% of 1.2x = 0.05(1.2x) = 0.06x

Selling Price after discount = 1.2x - 0.06x = 1.14x

Find the gain:

Gain = Selling Price - Cost Price

Gain = 1.14x - x = 0.14x

Find the gain percentage:

Gain percentage = (gain ÷ cost price) x 100

Gain percentage = (0.14x ÷ x) x 100

Gain percentage = 14%

Answer: The profit is 14%