Multiple choice

When a discount of 50% is given on a shirt, the profit is 25%. If the discount is 10%, then the profit is

  1. 35 percent

  2. 55 percent

  3. 215 percent

  4. 125 percent
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let MP = 100. Discount 50% means SP = 50. Profit 25% means CP * 1.25 = 50, so CP = 40. If discount is 10%, SP = 90. Profit = 90 - 40 = 50. Profit % = (50/40) * 100 = 125%.

AI explanation

If a 50 percent discount still allows a 25 percent profit, the selling price is 1.25 times the cost price, and this equals 0.50 times the marked price. This gives the relationship 1.25 * CP = 0.50 * MP, which simplifies to MP = 2.5 * CP. If the discount is only 10 percent, the new selling price is 0.90 of the marked price, or 0.90 * 2.5 * CP, which equals 2.25 * CP, resulting in a profit of 125 percent.

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