A shopkeeper sells his items using a faulty balance which measures 25% less. He then marks up his items 15% above the cost price. If he also gives a discount of 10%, then find his net profit percentage on 1 kg items.
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 38%
Use the Ratio method in this type of question
CP: SP
3: 4 [ 25% faulty balance]
20: 23 [15% above the CP]
10: 9 [discount 10%]
Hence, the final ratio CP: SP
50: 69
Thus the profit % = [(69 - 50)/50] * 100 = 38%