Multiple choice

The marked price of a pen is Rs. $60$.After allowing a discount of $10 \%$, the merchant makes a profit of $20 \%$. What is the cost price of the pen?

  1. Rs. $ 40$
  2. Rs. $ \ 45$
  3. Rs. $60$
  4. Rs. $80$
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Marked Price = 60. Discount = 10% of 60 = 6. Selling Price = 60 - 6 = 54. Profit = 20% of Cost Price. 54 = 1.2 * CP, so CP = 54 / 1.2 = 45.

AI explanation

First, calculate the selling price by applying the discount to the marked price: 60 * ((100 - 10) / 100) = Rs. 54. Since this selling price yields a 20% profit, the cost price equals the selling price divided by 1.20. Calculating 54 / 1.20 gives the cost price of Rs. 45.

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