1.

If a merchant offers a discount of 40% on the marked price of his goods and thus ends up selling at cost price, what was the % markup? 1). 42.85%2). 58.54% 3). 66.67%4). 79.85%

Answer»

If the MERCHANT offers a discount of 40% on the marked PRICE, then the goods are sold at 60% of the marked price.

∴ selling @ 40% discount = 60% of marked price (M) = COST price (C).

⇒ (60/100) × M = C

∴ M = (100/60) × C = 1.666667 × C

∴ % MARKUP = 66.67%


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