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    The cost price of a toy is ₹ 210. What should be its MRP so that after a discount of 5% the shopkeeper gains 90% ?
    Question

    The cost price of a toy is ₹ 210. What should be its MRP so that after a discount of 5% the shopkeeper gains 90% ?

    A.

    ₹ 480

    B.

    ₹ 400

    C.

    ₹ 420

    D.

    ₹ 450

    Correct option is C

    Given:

    Cost Price (C.P.) = ₹210

    Discount = 5%

    Gain = 90%

    Formula Used:

    S.P. = C.P. + Gain% of C.P.

    S.P. = MRP × (1Discount100) \left(1 - \frac{\text{Discount}}{100}\right)​​

    Solution:

    Gain = 90% of ₹210 = 90100×210 \frac{90}{100} \times 210​ = ₹189

    So, S.P. = ₹210 + ₹189 = ₹399

    Let MRP be ₹x.

    After 5% discount,

    S.P. = x×95100 x \times \frac{95}{100}​ = ₹399

    Now,

    x = 399×10095=3990095\frac{399 \times 100}{95} = \frac{39900}{95}​ = ₹420 

    Alternate Solution: 

    MPCP=100+profit%100discount%\frac{MP}{CP} = \frac{100 +profit\%}{100 - discount\%} 

    MP210=100+901005 MP210=19095  MP=190×21095=420\frac{MP}{210} = \frac{100 + 90}{100-5} \\ \ \\ \frac{MP}{210} = \frac{190}{95}\\ \ \\ \implies MP = \frac{190 \times 210}{95} = ₹420​​

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