Question

A supplier sold a scanner machine for Rs 41,400 with 15% VAT after allowing 10% discount on it’s marked price and gained 20%. By how much is the discount percent to be reduced to increase the profit by 4%?​

Answers

  1. 3%
    Answer:
    Selling price with VAT {15%} = Rs 41400
    S.P +15% of S.P =Rs 41400
    S.P(1+15%)=Rs 41400
    S.P=Rs 41400/1.15
    Selling price without VAT =Rs 36000
    Again
    Discount = 10%
    M.P =S.P+ Discount % of M.P
    M.P-Discount% of M.P= S.P
    M.P(1-Discount%)=Rs 36000
    M.P(1-10%)=Rs 36000
    M.P=Rs 36000/0.9
    Marked Price = Rs 40,000
    again
    Discount =Discount % of M.P
    =10% of 40000
    =Rs 4,000
    Again
    Profit=20%
    For 20% profit
    Cost price = (S.P*100)/(100+profit%)
    =(36000*100)/(100+20)
    = Rs 30000
    For 24% profit
    selling price = (100+profit%)*C.P/100
    =(100+24)*30000/100
    =Rs 37200
    Again
    Discount = 40000–37200 = Rs2800
    Discount % = discount/M.P*100%
    =2,800/40,000* 100 = 7%
    Finally
    Discount percent to be reduced =10%–7%= 3%

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