Multiple choice

A furniture dealer offers a discount of 20% on the marked price of each table, and sells 6 tables to a customer for the discounted price of 5 tables in order to earn a profit of 25% on the transaction. If the cost price of each table is Rs. 200, then the marked price, in rupees, of each table is:

  1. 575

  2. 357

  3. 375

  4. 735

Reveal answer Fill a bubble to check yourself
C Correct answer
AI explanation

The total cost price for 6 tables is 6 x 200 = 1200. For a 25% profit, the total selling price must be 1200 x 1.25 = 1500. Since the customer effectively pays for 5 tables to get 6, the selling price of one table is 1500 / 5 = 300. This 300 is the price after a 20% discount on the marked price (MP), so 0.80 x MP = 300. Solving this gives MP = 375.