Question

An article is marked at ₹800. A shop owner allows a discount of 12% and still gains 8%. What is the approximate cost price of the article?

• A. ₹640
• B. ₹652
• C. ₹660
• D. ₹680

Answer 1

Answer:

B. ₹652

Marked Price (MP) = ₹800
Discount = 12%

Find Selling Price (SP)

$SP = 800 \times (1 - 0.12) = 800 \times 0.88 = 704$

Use profit condition

Profit = 8%

So,
$SP = 108\% \text{ of CP} = 1.08 , CP$
$704 = 1.08 , CP$

Find CP

$CP = \frac{704}{1.08} \approx 651.85$

Final Answer:

Approximate cost price ≈ ₹652