The marked price of an article is ₹1,500 and it is sold at a discount of 19%. If there is a gain of 8%, then by what per cent above the cost price was the article marked?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 33%.
Marked Price (MP) = ₹1500
Discount = 19% ⇒ Selling Price (SP) = 1500 × (1 - 0.19) = ₹1215
Gain = 8% ⇒ Cost Price (CP) = SP / 1.08 = 1215 / 1.08 = ₹1125
Now, % above CP the article was marked =
= [(MP - CP) / CP] × 100
= [(1500 - 1125) / 1125] × 100
= (375 / 1125) × 100
= 33%