Multiple choice

A shopkeeper claims to sell his articles at a discount of 10% but marks his articles by increasing the cost of each by 20%. His gain per cent is

  1. 6%

  2. 8%

  3. 10%

  4. 12%
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Let CP = 100. Marked Price = 120. Discount = 10% of 120 = 12. Selling Price = 120 - 12 = 108. Gain = 108 - 100 = 8%.

AI explanation

Assume the cost price of the article is 100. The shopkeeper marks the price up by 20 percent to 120, and then allows a 10 percent discount on this marked price. The selling price becomes 90 percent of 120, which equals 108. The profit is 8 on the cost price of 100, making the gain percent 8.

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