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  1. A trader marks his goods 40% above cost price and allows a discount of 25 %. The profit he makes, is :
    1. 15%
    2. 10 %
    3. 5 %
    4. 2 %
Correct Option: C

Let the cost price be ₹ 100.
Marked price = ₹ 140

S.P.=
75 × 140
= ₹ 105
100

∴  Profit percent = 5%
2nd method to solve this question.
Here, r = 40%, r1 = 25%
Profit % =
r ×(100 − r1)
− r1
100

=
40 × (100 − 25)
− 25
100

=
40 × 75
− 25
100

=
3000
− 25
100

Profit % = 30 – 25 = 5%



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