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    An object is sold at a profit of 50% and tax levied is 4%. What is the net profit?
    Question

    An object is sold at a profit of 50% and tax levied is 4%. What is the net profit?

    A.

    40%

    B.

    56%

    C.

    36%

    D.

    44%

    Correct option is D

    Given:

    Profit = 50%

    Tax levied = 4%

    Formula used:

    Profit = SP – CP

    Calculation:

    Let CP of the object be Rs. 100

    => SP of the object = 100 × 150100\frac{150}{100}  = Rs. 150

    Price of the object after levied tax = Rs. 150 ×96100\frac{96}{100}​= Rs. 144

    => Profit = Rs. 144 – Rs. 100 = 44

    ∴ Profit percent = 44100\frac{44}{100}​ × 100 = 44%

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