A tradesman marks his goods at 15% above the cost price and allows purchasers a discount of 10% for cash. What profit percentage does he make?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is Option 4 i.e. 3.5%.
Assume Cost Price (CP) = ₹100
Then, Marked Price (MP) = ₹100 + 15% of ₹100 = ₹115
Discount = 10% of ₹115 = ₹11.50
So, Selling Price (SP) = ₹115 − ₹11.50 = ₹103.50
Profit = SP − CP = ₹103.50 − ₹100 = ₹3.50
Profit % = = 3.5%