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an ideal meter scale

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by sanju09 » Fri May 07, 2010 2:30 am
Instead of a meter scale, a cloth merchant uses a 120 cm scale while buying, but uses an 80 cm scale while selling the same cloth. If he offers a discount of 20 percent on cash payment, what is his overall percent profit? There are 100 cm on an ideal meter scale.
(A) 15
(B) 20
(C) 25
(D) 35
(E) 40
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by liferocks » Fri May 07, 2010 2:35 am
let price of 1 meter is 100

merchant bought 1200 cm for 100
he sells 800 cm for 80
selling price of 1200 is 80*1200/800 or 120

hence his percentage profit is 20%

Ans option B
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by electrico » Fri May 07, 2010 2:37 am
IMO B.

Lets the cost is $100. Now, for $100, he has got 1.20 meter cloths. He will sell the same clothes at $ 80 per meter (20 % discount). Bou he will charge a sum for 1.5 meter because his scale is of .80 meter. So, while selling, the same clothes of 1.20 meter will become 1.5 meter.
So sell price = $ 80 * 1.5 = 120

Profit = $ 20
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