arrow
arrow
arrow
A shopkeeper gives two consecutive discount of 10% and 5% respectively on his items. He then adds 20% GST on his items. If an item has marked price Rs
Question

A shopkeeper gives two consecutive discount of 10% and 5% respectively on his items. He then adds 20% GST on his items. If an item has marked price Rs. 2,000/-, how much more or less of the actual price of the item a customer has to pay?

A.

2.6% less

B.

2.6% more

C.

Same price

D.

5.2% more

Correct option is B

Given:
Marked Price (MP) = Rs. 2,000

1st discount = 10%

2nd discount = 5%

GST = 20%

We are to compare the final amount paid by the customer with the original price (Rs. 2,000) to find how much more or less the customer pays.

Formula Used:
After first discount:
Price = MP × (1 − First Discount%)

After second discount:
Price = Result × (1 − Second Discount%)

Add GST:
Final Price = Discounted Price × (1 + GST%)

Then compare final price with original MP to calculate percentage difference:

Final Price=Marked Price×(1First Discount)×(1Second Discount)×(1+GST)\text{Final Price} = \text{Marked Price} \times (1 - \text{First Discount}) \times (1 - \text{Second Discount}) \times (1 + \text{GST})

Solution:
Step 1: Apply first discount (10%)
2000 × 90% = 2000 × 0.90 = Rs. 1800

Step 2: Apply second discount (5%)
1800 × 95% = 1800 × 0.95 = Rs. 1710

Step 3: Add 20% GST
1710 × 120% = 1710 × 1.20 = Rs. 2052

Step 4: Compare with marked price (Rs. 2000)
Difference = 2052 − 2000 = Rs. 52
Percentage more = (52 / 2000) × 100 = 2.6% more​​

Ans. (b) 2.6% more

Free Tests

Free
Must Attempt

SSC GD PYP (Held on 4 Feb 2025 S1)

languageIcon English
  • pdpQsnIcon80 Questions
  • pdpsheetsIcon160 Marks
  • timerIcon60 Mins
languageIcon English
Free
Must Attempt

Hindi Section Test 1

languageIcon English
  • pdpQsnIcon20 Questions
  • pdpsheetsIcon40 Marks
  • timerIcon12 Mins
languageIcon English
Free
Must Attempt

SSC GD Constable Full Mock Test 1

languageIcon English
  • pdpQsnIcon80 Questions
  • pdpsheetsIcon160 Marks
  • timerIcon60 Mins
languageIcon English
test-prime-package

Access ‘CSIR JSA’ Mock Tests with

  • 60000+ Mocks and Previous Year Papers
  • Unlimited Re-Attempts
  • Personalised Report Card
  • 500% Refund on Final Selection
  • Largest Community
students-icon
354k+ students have already unlocked exclusive benefits with Test Prime!
Our Plans
Monthsup-arrow