Multiple choice

The cost price of a table is Rs. 3200. A merchant wants to make 25% profit by selling it. At the time of sale, he declares a discount of 20% on the marked price. The marked price (in Rs.) is

  1. 5000

  2. 6000

  3. 4000

  4. 4500
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Cost Price = 3200. Profit = 25% of 3200 = 800. Selling Price = 3200 + 800 = 4000. Discount = 20% of Marked Price (MP). Selling Price = MP - 0.2*MP = 0.8*MP. 4000 = 0.8*MP, so MP = 4000 / 0.8 = 5000.

AI explanation

To make a 25% profit on the cost price of 3200, the target selling price is 3200 * 1.25 = 4000 rupees. Since the merchant gives a 20% discount, the selling price is 80% of the marked price. Therefore, 0.80 * Marked Price = 4000, making the marked price 4000 / 0.80 = 5000 rupees.

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