DIRECTIONS: In the following questions the first word is related to th...
Answer:
To solve this question, we need to understand the given scenario and calculate the gain on each article for the shopkeeper.
Giving Discounts and Increasing Selling Price:
The shopkeeper claims to sell all things at a discount of 10%. This means that the selling price of each article is reduced by 10%. However, the shopkeeper increases the selling price of each article by 20%.
Calculating the Gain:
To calculate the gain percentage, we need to compare the selling price with the cost price of each article.
Let's assume the cost price of an article is 100 units.
Selling Price with Discount:
- Selling price with a discount of 10% would be 100 - (10% of 100) = 100 - 10 = 90 units.
Selling Price with Increased Price:
- Selling price with an increased price of 20% would be 100 + (20% of 100) = 100 + 20 = 120 units.
Calculating the Gain:
- The gain on each article is the difference between the selling price and the cost price, which is 120 - 100 = 20 units.
Calculating the Gain Percentage:
- The gain percentage is calculated by dividing the gain (20 units) by the cost price (100 units) and multiplying by 100.
- Gain percentage = (20/100) * 100 = 20%.
Therefore, the correct answer is option 'B' - 8%.
Explanation:
The correct answer is 8% because the shopkeeper claims to give a discount of 10%, but in reality, the selling price is increased by 20%. As a result, the shopkeeper gains 20 units on each article, which is 20% of the cost price.