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Leviafan [203]
3 years ago
6

After getting 10% discount a customer paid RS 2034 with 13% VAT to buy a bag from a retailer. If the retailer made a profit of 2

0%, by how many percent did he mark the price of the bag above the cost price?
Mathematics
1 answer:
german3 years ago
7 0

Answer:

33.33%

Step-by-step explanation:

We are told that the customer paid Rs. 2034 after getting 10% discount with 13% vat on marked price (m.p.)

hence:-

2034 = m.p. × 90/100 × 113/100

m.p = (2034 × 100 × 100)/(90 × 113)

m.p. = Rs.2000

Now, due to the fact that VAT (which in this question is given to be 13%) is not the profit of the retailer, thus the selling price (s.p.) of the bag would be given by;

s.p = m.p. × 90/100

s.p = 2000 × 90/100

s.p = Rs. 1800

We are told that the retailer made a profit of 20%

Thus:-

c.p. × 120/100 = s.p.

c.p.= s.p. × 100/120

c.p.= 1800 × 100/120

c.p. = Rs.1500

Therefore, the percentage with which he marked above the c.p is;

% mark up = (m.p - c.p)/c.p) × 100

Plugging in the relevant values, we have;

(2000 - 1500)/1500) × 100

(500/1500) × 100 = 33.33%

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