A man buys an article for Rs. 80 and marks it at Rs. 125. He then allows a discount of 40%. What is his percentage of loss or gain?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is Option 3 i.e. 6.25% loss.
CP = 80 and MP = 125
Discount = 0.40 × 125 = 50
SP = 125 - 50 = 75
Loss = 80 - 75 = 5
Loss percentage = (5/80) × 100 = 6.25%