Multiple choice general knowledge math & puzzles

A cloth merchant allows 25% discount on a saree and still makes 20% profit. By selling a saree, he gained Rs. 160. What is the marked price of that saree?

  1. Rs 1020

  2. Rs 1200

  3. Rs 1360

  4. Rs 1280

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A 20% profit on cost price gives a gain of Rs 160, so cost price = 160 / 0.20 = Rs 800 and selling price = Rs 960. Since 25% discount is applied on the marked price, selling price is 75% of marked price, so marked price = 960 / 0.75 = Rs 1280.