A trader marks his goods in such a way that he can earn a profit of 19% after giving 15% discount on its marked price. However a customer availed 18% discount instead of 15%. What is the new profit percentage of trader?
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. 14.8%
Formula used:
Selling price = Marked price × (100 - Discount)/100 ---- (1)
Calculations:
Let the cost price be 100x
Selling price = 119% of 100x = 119x
Using equation (1), we get
⇒ 119x =Marked price × (85)/100
⇒ Marked price = 140x
When the discount is 18%, we have
Selling price = 140x × (100 - 18)/100
⇒ Selling price = 114.8x
Profit = Selling price - Cost price
Profit = 114.8x - 100x = 14.8x
Profit% = [14.8x/100x] × 100 = 14.8%