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An article costing ₹80 was marked 25% above the cost price. After offering a discount of X%, the customer now pays ₹81. If the marked price is increased twice successively by X% and the article is sold at the new marked price, then the profit would be what percent more than the profit when the selling price was ₹81?

Solution

✅ Correct Option: 4

The Cost Price (CP) of the article is ₹80₹80.

The article was marked 25% above the CP.

MP=CP+25% of CP\text{MP} = \text{CP} + 25\% \text{ of CP}

MP=80+25100×80\text{MP} = 80 + \frac{25}{100} \times 80

MP=80+14×80\text{MP} = 80 + \frac{1}{4} \times 80

MP=80+20\text{MP} = 80 + 20

MP=₹100\text{MP} = ₹100


The article was sold for a Selling Price (SP) of ₹81₹81 after a discount of X%X\% on the MP.

Discount=MP−SP\text{Discount} = \text{MP} - \text{SP}

Discount=100−81\text{Discount} = 100 - 81

Discount=₹19\text{Discount} = ₹19

The discount percentage X%X\% is calculated on the MP:

X%=DiscountMP×100X\% = \frac{\text{Discount}}{\text{MP}} \times 100

X=19100×100X = \frac{19}{100} \times 100

X=19X = 19

So, the discount percentage is 19%19\%.


The original marked price (MP1)(\text{MP}_1) is ₹100₹100.

The marked price is increased twice successively by X%=19%X\% = 19\%.

New Marked Price (MP2)=MP1(1+X100)(1+X100)\text{New Marked Price } (\text{MP}_2) = \text{MP}_1 \left(1 + \frac{X}{100}\right) \left(1 + \frac{X}{100}\right)

MP2=100(1+19100)(1+19100)\text{MP}_2 = 100 \left(1 + \frac{19}{100}\right) \left(1 + \frac{19}{100}\right)

MP2=100(119100)(119100)\text{MP}_2 = 100 \left(\frac{119}{100}\right) \left(\frac{119}{100}\right)

MP2=119×119100\text{MP}_2 = \frac{119 \times 119}{100}

MP2=14161100\text{MP}_2 = \frac{14161}{100}

MP2=₹141.61\text{MP}_2 = ₹141.61

The article is now sold at this new marked price, so the New Selling Price (SP2)(\text{SP}_2) is ₹141.61₹141.61.


The Cost Price (CP) remains ₹80₹80.

When SP was ₹81₹81:

Profit1=SP1−CP\text{Profit}_1 = \text{SP}_1 - \text{CP}

Profit1=81−80\text{Profit}_1 = 81 - 80

Profit1=₹1\text{Profit}_1 = ₹1

When SP is ₹141.61₹141.61:

Profit2=SP2−CP\text{Profit}_2 = \text{SP}_2 - \text{CP}

Profit2=141.61−80\text{Profit}_2 = 141.61 - 80

Profit2=₹61.61\text{Profit}_2 = ₹61.61


The percentage by which Profit2\text{Profit}_2 is more than Profit1\text{Profit}_1:

Increase in Profit=Profit2−Profit1\text{Increase in Profit} = \text{Profit}_2 - \text{Profit}_1

Increase in Profit=61.61−1\text{Increase in Profit} = 61.61 - 1

Increase in Profit=₹60.61\text{Increase in Profit} = ₹60.61

Required Percentage=Increase in ProfitProfit1×100\text{Required Percentage} = \frac{\text{Increase in Profit}}{\text{Profit}_1} \times 100

Required Percentage=60.611×100\text{Required Percentage} = \frac{60.61}{1} \times 100

Required Percentage=6061%\text{Required Percentage} = 6061\%

Therefore, the profit would be 6061%6061\% more than the profit when the selling price was ₹81₹81.

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