Multiple choice

A shopkeeper sold an article for Rs.6750 after giving a discount of 10% on the labelled price. He would have earned a profit of 50% had there been no discount. What was the actual percentage of profit earned?

  1. $36\%$
  2. $40\%$
  3. $44\%$
  4. $35\%$
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let the marked price be M. The selling price is 0.9M = 6750, so M = 7500. If there were no discount, the selling price would be 7500, which represents a 50 percent profit over the cost price (CP). Thus, 1.5 * CP = 7500, meaning CP = 5000. The actual profit is 6750 - 5000 = 1750. The profit percentage is (1750 / 5000) * 100 = 35 percent.

AI explanation

Had there been no discount, the labelled price would represent a 50% profit over the cost price. Let the cost price be Rs. 4500, which makes the labelled price Rs. 6750. After a 10% discount on Rs. 6750, the actual selling price becomes Rs. 6075. The actual profit is 6075 minus 4500, equaling Rs. 1575, making the actual profit percentage (1575 divided by 4500) times 100, which equals 35%.

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