Multiple choice

By selling an umbrella for Rs. 30, a merchant gains 20%. During a clearancesale, the merchant allows a discount of 10% on the marked price (the price at which he used to sell). Find his gain%.

  1. 2 %

  2. 4 %

  3. 6 %

  4. 8 %
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

SP = 30, Gain = 20%. CP = 30 / 1.2 = 25. Marked Price (MP) = 30. Discount = 10% of 30 = 3. New SP = 30 - 3 = 27. Gain = 27 - 25 = 2. Gain % = (2/25) * 100 = 8%.

AI explanation

The selling price of 30 yields a cost price of 30 divided by 1.2, which is 25 rupees. This selling price of 30 is the marked price, and a 10 percent discount on it makes the new selling price 27. The gain is 2 rupees on the cost price of 25, so the gain percentage is 2 divided by 25 multiplied by 100, which is 8 percent.

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