The marked price of an article is 10% higher than cost price.

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The marked price of an article is 10% higher than cost price. A discount of 10% is given on marked price. In this kind of sale, the seller bears :

1. no loss, no gain
2. a loss of 5%
3. a gain of 1%
4. a loss of 1%

Correct Option: D

Let the CP of article be 100.
From the question ,
∴ Marked price = $ 110
After 10% discount, SP of article = 90% of $ 110 = $ 99
∴ Loss = $ 1 i.e. 1% of loss