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A trader wants to earn  profit even after allowing a discount of 20%. Find by how much percent he has to increase his cost price to make M.P.?
  • a)
    25%
  • b)
  • c)
  • d)
    15%
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
A trader wants to earnprofit even after allowing a discount of 20%. Fi...
GIVEN:
Profit% =  and Discount = 20%
FORMULA USED:
Required Percentage = Difference of CP and MP/CP
CALCULATION:
Profit% 
So, CP = 15
& SP = 16
Discount = 20% = 1/5
So,
MP = 5
SP = 5 - 1 = 4
Make, SP same in both cases
CP = 15
SP = 16
MP = 20
CP SP MP
15 : 16 : 20
Different b/w CP & MP = 5
∴ Required Percentage ⇒ 5/15 × 100 = 
Alternate method:
Profit % = (M + D + MD/100)% 
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A trader wants to earnprofit even after allowing a discount of 20%. Find by how much percent he has to increase his cost price to make M.P.?a)25%b)c)d)15%Correct answer is option 'C'. Can you explain this answer?
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