An article is marked at ₹1,620 by a shopkeeper. He offers a discount of 10% on…
2026
An article is marked at ₹1,620 by a shopkeeper. He offers a discount of 10% on the marked price and still earns a profit of 20% on the cost price. Find the cost price of the article.
Answer: C. ₹1,215 — ConceptA discount reduces the marked price to obtain the selling price. If the discount rate is d%, then selling price = marked price × (100 − d)/100. A…
- A.
₹1,198
- B.
₹1,251
- C.
₹1,215
- D.
₹1,278
Attempted by 29 students.
Show answer & explanation
Correct answer: C
Concept
A discount reduces the marked price to obtain the selling price. If the discount rate is d%, then selling price = marked price × (100 − d)/100.
A profit is measured on the cost price. If the profit rate is p%, then selling price = cost price × (100 + p)/100, so cost price = selling price × 100/(100 + p).
Application
Calculate the selling price after the 10% discount: ₹1,620 × 90/100 = ₹1,458.
Use the 20% profit relationship: ₹1,458 = cost price × 120/100.
Rearrange to find the cost price: cost price = ₹1,458 × 100/120 = ₹1,215.
Cross-check
Twenty per cent of ₹1,215 is ₹243, and ₹1,215 + ₹243 = ₹1,458. This equals the discounted selling price, so the cost price is ₹1,215.