A shopkeeper purchases a wrist watch for Rs. 3,800 and fixes its marked price in such a way that after allowing a discount of 24%, he earns a profit of 30%. Find the marked price of the wrist watch.

Correct option is D

Given:

Cost Price (CP) = Rs. 3800

Discount = 24%

Profit = 30%

Need to find Marked Price (MP).

Formula Used:

SP = CP × (1 + Profit%)

SP = MP × (1 − Discount%)

Solution:

SP = 3800 × 1.30 = 4940

Let MP = x

SP = x × (1 − 0.24) = 0.76x

=> 0.76x = 4940

=> x = 4940 / 0.76 = Rs. 6500 

Alternate Solution: ​

​$$\frac{MP}{CP} = \frac{100 + Profit}{100 - Discount \%} \\ \ \\ \frac{MP}{3800} = \frac{100 + 30}{100 - 24} \\ \ \\ \frac{MP}{3800} = \frac{130}{76} \\ \ \\ \implies MP = \frac{130 \times 3800}{76} = ₹6500$$​​