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Napster offers discount on purchase o...

Napster offers discount on purchase of three garment pieces at a time . On purchase of every garment at the listed price, there is a 10% discount on offer of the remaining two graments . All garments .All garments are price the same. If the garments are listed at 25% above the cost price of $120, what is the profit made by the store if a customer purchase three pieces of garments ?

A

30

B

45

C

60

D

90

Text Solution

AI Generated Solution

The correct Answer is:
To solve the problem step by step, we will calculate the cost price, the listed price, the selling price, and finally the profit made by the store when a customer purchases three pieces of garments. ### Step 1: Calculate the Cost Price of 3 Garments The cost price (CP) of each garment is given as $120. Therefore, the cost price of 3 garments can be calculated as follows: \[ \text{Cost Price of 3 Garments} = 3 \times \text{Cost Price of Each Garment} = 3 \times 120 = 360 \] ### Step 2: Calculate the Listed Price of Each Garment The garments are listed at 25% above the cost price. First, we calculate 25% of the cost price: \[ \text{25% of Cost Price} = 0.25 \times 120 = 30 \] Now, we can find the listed price (LP) of each garment: \[ \text{Listed Price of Each Garment} = \text{Cost Price} + \text{25% of Cost Price} = 120 + 30 = 150 \] ### Step 3: Calculate the Selling Price of 3 Garments According to the problem, when a customer purchases 3 garments, they pay the full listed price for the first garment and a 10% discount on the remaining two garments. First, calculate the discount on the remaining two garments: \[ \text{Discount} = 10\% \text{ of Listed Price} = 0.10 \times 150 = 15 \] Thus, the price for each of the remaining two garments after applying the discount is: \[ \text{Price after Discount} = \text{Listed Price} - \text{Discount} = 150 - 15 = 135 \] Now, we can calculate the total selling price (SP) for all three garments: \[ \text{Selling Price of 3 Garments} = \text{Price of 1st Garment} + 2 \times \text{Price after Discount} = 150 + 2 \times 135 \] Calculating this gives: \[ \text{Selling Price of 3 Garments} = 150 + 270 = 420 \] ### Step 4: Calculate the Profit Finally, we can find the profit made by the store by subtracting the total cost price from the total selling price: \[ \text{Profit} = \text{Selling Price} - \text{Cost Price} = 420 - 360 = 60 \] ### Conclusion The profit made by the store when a customer purchases three pieces of garments is **$60**. ---
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