A company gives a 25% discount on the marked price of a product and still makes a 20% profit. What is the profit percentage if the product were sold at the marked price without any discount?*1 pointa) 45%b) 50%c) 55%d) 60%
Question
A company gives a 25% discount on the marked price of a product and still makes a 20% profit. What is the profit percentage if the product were sold at the marked price without any discount?*1 pointa) 45%b) 50%c) 55%d) 60%
Solution
Let's solve this step by step:
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Let's assume the cost price of the product is $100.
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The company makes a 20% profit after giving a 25% discount. This means the selling price is 100 is $120).
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The selling price of 160 (because 120/0.75 = $160).
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If the product were sold at the marked price without any discount, the selling price would be $160.
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The profit made when sold at the marked price is 160 - 60).
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The profit percentage is then (Profit/Cost price) * 100 = (100)*100 = 60%.
So, the answer is d) 60%.
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