Multiple choice

The marked price of an article is 20% higher than the cost price. A discount of 20% is given on the marked price. In this kind of sale, the seller

  1. bears no loss, no gain

  2. gains 4%

  3. loses 4%

  4. loses 2%

  5. Cannot be determined
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Let CP be Rs. 100. Then, marked price = Rs. 120 SP = 80% of Rs. 120 = Rs. 96 So, loss = 4%

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