Multiple choice

A shopkeeper marks up his article at such a price that he can make a profit of 36%. But at such higher price for that article no one is ready to purchase so he gives 40% discounts on it. Then find his overall profit % or loss%?

  1. 16.8% loss

  2. 18.4%loss

  3. 4%profit

  4. 1.5%loss
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Let cost price = 100. Marked price for 36% profit = 136. After 40% discount on marked price, selling price = 136 - 0.4×136 = 136 - 54.4 = 81.6. Since cost price = 100, loss = 100 - 81.6 = 18.4. Loss percent = 18.4%.

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