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Salim,a TV dealer, gives a discount of 20% on his TVs and yet makes a profit of 25%. How much was his marked price above the cost price? Correct answer is 56.25%. Can you explain?
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Salim,a TV dealer, gives a discount of 20% on his TVs and yet makes a ...
**Solution**

Let's assume the cost price of the TV is $100.

**Step 1: Calculate the selling price after the 20% discount**
Given that Salim gives a 20% discount on his TVs, the selling price after the discount can be calculated as follows:

Discount = 20% of cost price = 20/100 * $100 = $20
Selling price = Cost price - Discount = $100 - $20 = $80

**Step 2: Calculate the profit percentage**
Given that Salim makes a profit of 25%, we need to find the selling price that would result in a 25% profit.

Let's assume the marked price of the TV is M.
Profit = Selling price - Cost price = $80 - $100 = -$20
Profit percentage = (Profit / Cost price) * 100 = (-$20 / $100) * 100 = -20%

To make a profit of 25%, the selling price should be 25% more than the cost price. Therefore, the selling price would be:

Selling price = Cost price + Profit = $100 + 25/100 * $100 = $100 + $25 = $125

**Step 3: Calculate the marked price above the cost price**
To calculate the marked price above the cost price, we need to find the percentage increase from the cost price to the selling price.

Marked price above cost price = ((Selling price - Cost price) / Cost price) * 100
= (($125 - $100) / $100) * 100
= ($25 / $100) * 100
= 25%

Therefore, the marked price above the cost price is 25%.

However, we need to calculate the marked price above the cost price as a percentage of the cost price, not the selling price.

Marked price above cost price = (25% / 100%) * 100
= 25%

Hence, the marked price above the cost price is 25%.

Community Answer
Salim,a TV dealer, gives a discount of 20% on his TVs and yet makes a ...
M=marked price
d=discount
p=profit
(1+m/100)× (1-d/100)=(1+p/100)
(1+m/100)× (1-20/100)=(1+25/100)
(1+m/100)× (80/100)=(125/100)
(1+m/100)×80=125
[(100+m)/100]×80=125
100+m=125×100/80
100+m=156.25
m=156.25-100
m=56.25
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Salim,a TV dealer, gives a discount of 20% on his TVs and yet makes a profit of 25%. How much was his marked price above the cost price? Correct answer is 56.25%. Can you explain?
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