A shopkeeper marks the price of his goods at 20% higher than the cost price and allows a discount of 10%. What is his profit percentage?
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. 8%.
Let, the cost price = 100
So, the marked price = 100 + (20% of 100) = 100 + 20 = 120
The selling price = 120 - (10% of 120) = 120 - 12 = 108
The gain percentage = 108 - 100 = 8%