A merchant offers a discount of 25% on the list price, due to which she makes a loss of 13%. What percent profit or percent loss will she make if she sells at a discount of 10% of the list price?
Given:
Discount = 25% leads to 13% loss
Formula used:
Selling Price (SP) = LP - Discount
Cost Price (CP) = SP ÷ (1 - Loss%)
Profit% = × 100
Solution:
Let List Price (LP) = ₹100
For 25% discount:
SP = ₹100 - ₹25 = ₹75
13% loss
CP = SP ÷ 0.87 = ₹75 ÷ 0.87 = ₹86.21
Now, for 10% discount:
SP = ₹100 - ₹10 = ₹90
Profit% = × 100 = × 100 ≈ 4.4%
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