A merchant fixes the marked price of his goods at 60% above the cost price. He sells his goods at 25% discount. His percentage of profit is:
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 20%.
Let cost price = 100
Marked price = 160
Selling price = 160 × 0.75 = 120
Profit = 120 − 100 = 20%