Multiple choice

A shopkeeper sells an item at the price which fetches him a profit of 25%. If after the discount to the members of the shop, he gains a profit of 12.5%. What is the discount percentage offered to the members?

  1. 8.25

  2. 16.67

  3. 12.5

  4. 10

  5. None of these
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let the cost price be 100. The marked price is 125. After discount d, the selling price is 125 * (1 - d/100). The profit is 12.5%, so the selling price is 112.5. 125 * (1 - d/100) = 112.5 implies 1 - d/100 = 0.9, so d = 10%.

AI explanation

Assume the cost price is 100, making the original selling price 125 to gain a 25% profit. The member price provides a 12.5% profit, making it 112.5. The discount is the difference between 125 and 112.5, which is 12.5. Calculating the discount percentage as (12.5 / 125) * 100 results in a 10% discount.

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