A trader offers a discount of 10% on an article if a customer makes the payment in cash. How much percentage above the cost price should he mark the article to make a profit of 10%? [Give your answer correct to 2 decimal places.]

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RRB Group D 17 Sept 2022 Shift 3 Official Paper
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  1. 20.22%
  2. 15.22%
  3. 11.22%
  4. 22.22%

Answer (Detailed Solution Below)

Option 4 : 22.22%
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Detailed Solution

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Given:

Discount = 10%

Profit = 10%

Calculation:

According to the question,

90% of Marked price = 110% of Cost price 

⇒ Marked price = \(\frac{110\% \ of \ Cost\ price}{90\% }\)

⇒ Marked price = \(\frac{11}{9}\) × Cost price 

Percentage above which marked price should be marked 

= \(\frac{(\frac{11}{9}\ -\ 1) Cost \ price }{Cost\ price}\)× 100

\(\frac{2}{9}\) × 100

= 22.22..%

Thus, the required value is 22.22%.

Hence, the correct answer is option 4).

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