Jasmine allows 4% discount on the marked price of her goods and still earns a profit of 20%. What is the cost price of a shirt if its marked price is ₹ 850?
₹ 650
₹ 720
₹ 700
₹ 680
Correct Option: D
Let Cost price of the shirt = ₹ p
∴ p ×
120
=
850 × 96
100
100
⇒ p × 120 = 850 × 96
⇒ p =
850 × 96
= ₹ 680
120
2nd method to solve this question. Here r = 20%, D = 4%, M.P. = ₹ 850, C.P. = ?