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A shopkeeper lists the price of a fan at 20% above its cost price and offers a 10% discount on its list price. If he earns a profit of ₹150, then what is the list price (in ₹) of the fan?
2054
1969
2250
2172
2250
Let CP = 100x. List Price (MP) = 120x. After 10% discount, SP = 120x ×0.9=108x.Profit = 108x - 100x = 8x = 150 \implies 120x = 150 \times$$\frac{120}{8} = 2250$.
Marked price is 20% above cost price, discount is 10% on list price, profit earned is ₹150.
Profit=SP−CP
Let CP = 100x. List Price (MP) = 120x. After 10% discount, SP = 120x ×0.9=108x.Profit = 108x - 100x = 8x = 150 \implies 120x = 150 \times$$\frac{120}{8} = 2250$.
Students often calculate the 10% discount on the cost price instead of the list price, or confuse profit percentage with actual profit amount.
Assume Cost Price
Let the cost price (CP) of the fan be 100x.
CP=100x
Determine List Price
The shopkeeper lists the price at 20% above the cost price.
ListPrice(MP)=120x
Calculate Selling Price
A discount of 10% is offered on the list price. The selling price (SP) becomes 120x×(1−0.10)=108x.
SP=108x
Equate Profit and Solve for x
Profit is given as ₹150. Therefore, SP−CP=108x−100x=8x=150. Solving gives x=8150=18.75.
8x=150⟹x=18.75
Calculate List Price
Substitute x=18.75 into the list price expression: 120×18.75=2250.
List Price=120×18.75=₹2250
C is correct because the calculated list price of the fan is ₹2250.
Percentage markup and successive percentage changes are frequently tested in profit, loss, and discount problems across quantitative aptitude exams.