Arun and Devika bought an item each at identical prices. Arun marked his item at p% above his purchase price and then offered a discount of q% on the marked price. Devika claimed to offer her item for sale at y% below her purchase price but then added z% of the reduced offer price as handling charges. Eventually both sold their items at the same nominal price.

Which one of the following is correct in respect of the Question and the Statements given below?

Statement 1: The values of p, q, y and z are respectively given as 25, 8, 20 and 43.75

Statement 2: The values of p, q, y and z are respectively given as 35, 20, 10 and 20

Correct option is C

Given:

Arun's Pricing Strategy:
Arun marks up his item by p% above the cost price (CP).
Arun offers a discount of q% on the marked price (MP).
Devika's Pricing Strategy:
Devika claims to offer her item for sale at y% below her cost price (CP).
Devika adds z% of the reduced offer price as handling charges.
Both eventually sell their items at the same nominal price.

Formula Used:

Effective % =$$\left(A + B +\frac{AB}{100}\right)\%$$

Solution:
Arun              Devika

+ p%              ↓ y%  → CP Same

- q%               ↑ z%   → SP Same

Statement 1: The values of p, q, y and z are respectively given as 25, 8, 20 and 43.75

p = 25, q = 8, y = 20, z = 43.75

Effective % of Arun = $$\left(25 - 8 -\frac{200}{100}\right)\%$$ 

= (17 - 2) % = 15%

Effective % of  Devika = $$\left(43.75 - 20 -\frac{875}{100}\right)\%$$

= ( 23.75 - 8.75)% = 15%

Thus, Both effective % are same.

Statement 2: The values of p, q, y and z are respectively given as 35, 20, 10 and 20

p = 35, q = 20, y = 10, z = 20

Effective % of Arun = $$\left(35 - 20 -\frac{700}{100}\right)\%$$

= (17 - 7)% = 8%

Effective % of  Devika = $$\left(20 - 10 -\frac{200}{100}\right)\%$$

= (10 - 2)% =  8%

Thus, Both effective % are same. 

Hence both statement are true.

Thus, the correct option is (c) Both Statements are feasible.