Question

A shopkeeper buys a suit piece for Rs. 1,400 and marks it 60% above the cost price. He allows a discount of 15% on it. Find the marked price of the suit piece.

Answer 1

Hint: First of all, we will assume some variable for the marked price. Then we will find the profit the shopkeeper earns if he sells the suit piece for the marked price, which is 60% above the cost price of the selling price. Then, we will find the marked price by adding the cost price and the profit he may earn if he sells the suit piece on cost price.

Complete step-by-step answer:
Let the marked price of the suit piece be x.
It is given to us that the cost price of the suit piece is Rs 1400.
It is also given that the shopkeeper marks the price of the suit piece at 60% above the cost price.
To find the marked price, we will find 60% of the cost price and add it to the cost price of the suit piece.
60% of 1400 will be $\dfrac{60}{100}\times $ 1400 = 0.6(1400) = 840
Therefore, 60% of 1400 is 840. Thus, he earns a profit of Rs 840 on the piece of suit.
The marked price of an article is equal to the sum of cost price of that article and profit earned by the seller.
Therefore, the market price of the suit will be (1400 + 840) = Rs 2240.
The seller allows a 15% discount on the suit piece.
The discounted price will be the difference between the marked price and 15% of the marked price.
15% of 2240 is $\dfrac{15}{100}\times $ 2240 = 0.15(2240) = 336.
Therefore, the discounted price is (2240 – 336) = Rs 1904

Note: We do not need the allowed discount percentage to find the marked price of the suit piece. Sometimes, extra information is given to confuse the candidates. Moreover, students are advised to have a good hold on concepts of percentage to solve profit-loss questions quickly.