A merchant marks his goods at 100% above the cost price and offers two successive discounts of 30% and 20%. Find the profit percentage.
Show answer & explanation
Correct answer: C
Explanation
Given:
Marked price = 100% more than the cost price
Discount = 30% and 20%
Formula:
Selling price = Marked price × (100 − a)% / 100 × (100 − b)% / 100
Profit % = (Profit / Cost Price) × 100
Let the cost price = 100
Marked price = 200
Selling price = 200 × 70 / 100 × 80 / 100 = 112
Profit = 112 − 100 = 12
Profit % = (12 / 100) × 100 = 12%