Multiple choice

Directions: Solve the following question and mark the best possible option. If Fatima sells 60 identical toys at a 40% discount on the printed price, then she makes 20% profit. Ten of these toys are destroyed in fire. While selling the rest, how much discount should be given on the printed price so that she can make the same amount of profit?

  1. 30%

  2. 25%

  3. 24%

  4. 28%
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Let CP be cost price and MP be marked price. Selling 60 toys at 0.6MP gives 1.2CP. So 0.6MP = 1.2CP/60 = 0.02CP. MP = 0.0333CP. After 10 toys are destroyed, 50 toys remain. To make the same profit (0.2 * 60 * CP_per_toy), she needs total revenue of 1.2 * 60 * CP_per_toy = 72 * CP_per_toy. Revenue per toy = 72/50 = 1.44 * CP_per_toy. Discount = (MP - SP)/MP = (0.0333 - 0.024)/0.0333 = 28%.

AI explanation

Assume the cost price of all 60 toys is 60 rupees and the printed price of one toy is 1 rupee. A 40 percent discount means the selling price per toy is 0.60 rupees, so selling 60 toys yields 36 rupees, representing the required total profit of 20 percent on the 60 rupee cost. After 10 toys are destroyed, only 50 toys remain to generate this same 36 rupee total revenue, meaning the new selling price per toy must be 36 divided by 50, or 0.72 rupees. This corresponds to a 28 percent discount off the 1 rupee printed price.

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