After a discount of 15% on the marked price, the profit is 5%. What percent discount on the marked price be there to have 8% profit (rounded off to one decimal place)?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is Option 1 i.e. 12.6%.
Let the marked price of the article is Rs.100
Discount = 15% = 85% of 100 = Rs.85
Still a profit of 5% = 105% = Rs.85
If the profit is 8%
⇒ 105% = 85 × 108% [On applying the Unitary method]
⇒ 85 × 108%/105% = 87.42%
Discount% = 100% - 87.42% = 12.6%