A shopkeeper sells an item at a profit of 15% and uses a weight which is 20% less. Find his actual profit percentage.
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 43.75%.
Let's assume the cost price of the item = 100
After 15% profit, the selling price = Cost price × (100 + profit %)/100
= 100 × (100 + 15)/100
= 115
Profit = SP - CP
= 115 - 100
= 15
% of error in weight = 20%
Actual CP = 100 - 20 = 80
So, his actual profit = 15 + 20 = 35
Profit Percentage = Profit/CP × 100
= (35/80) × 100
= 43.75%