An article is marked 35% above its cost. If a profit of 20% is earned by selling the article, then the discount per cent offered on the market price of the article is:
Show answer & explanation
Correct answer: C
Explanation
The correct answer is option 3 i.e. 11%
Concept
M.P / C.P = (100 + Profit %) / (100 - Discount%)
Application
Let CP = 100 units
Therefore M.P = 135 units
According to the question, there is a profit of 20% on selling
M.P / C.P = (100 + Profit %) / (100 - Discount%)
Putting the values, we get
135 / 100 = (100 + 20) / (100 - Discount)
Upon solving,
we get discount = 11%