A shopkeeper marks his goods 12 percent above cost price, but allows 12 percent discount for cash. His net gain or loss percent is:
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. 1.44 percent loss.
Concept used:
Profit = SP - CP
Loss = CP - SP
Loss % = (Loss/CP) × 100
Calculations:
Let the CP be 100x
Marked price is 12% above Cost price
Marked price = 112% of 100x = 112x
Selling price after 12% discount = 88% of 112x = 98.56x
Loss = 100x - 98.56x = 1.44x
Loss% = (1.44x/100x) × 100 = 1.44%