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A dishonest dealer marks up the price of...

A dishonest dealer marks up the price of his goods by 20% and gives a discount of 10% to the customer, Besides, he also cheats both his supplier and his buyer by 100 grams while buying of selling 1 kilogram. Find the percentage profit earned by the shopkeeper?

A

`20%`

B

`25%`

C

`32%`

D

`27.5%`

Text Solution

AI Generated Solution

The correct Answer is:
To find the percentage profit earned by the dishonest dealer, we need to analyze the situation step by step. ### Step 1: Understanding the Markup and Discount 1. **Markup of 20%**: - Let the cost price (CP) of the goods be \( 100 \) (for simplicity). - The selling price (SP) after a 20% markup is: \[ SP = CP + 20\% \text{ of } CP = 100 + 20 = 120 \] 2. **Discount of 10%**: - The dealer gives a 10% discount on the marked price (SP). - The discount amount is: \[ \text{Discount} = 10\% \text{ of } 120 = 12 \] - Therefore, the selling price after discount is: \[ SP_{\text{after discount}} = 120 - 12 = 108 \] ### Step 2: Adjusting for Cheating in Weight 3. **Cheating by 100 grams**: - The dealer cheats by giving only 900 grams when selling 1 kilogram (1000 grams). - Therefore, when he sells 1 kg (1000 grams), he actually sells only 900 grams. - This means the effective selling price per kg becomes: \[ \text{Effective SP} = \frac{SP_{\text{after discount}}}{\text{actual weight sold}} = \frac{108}{0.9} = 120 \] ### Step 3: Adjusting for Cheating in Purchase 4. **Cheating while buying**: - When the dealer buys 1 kg (1000 grams), he actually receives 1100 grams due to cheating. - Therefore, the effective cost price (CP) per kg becomes: \[ \text{Effective CP} = \frac{CP}{\text{actual weight bought}} = \frac{100}{1.1} \approx 90.91 \] ### Step 4: Calculating Profit 5. **Calculating Profit**: - The profit earned by the dealer is: \[ \text{Profit} = \text{Effective SP} - \text{Effective CP} = 120 - 90.91 \approx 29.09 \] ### Step 5: Calculating Percentage Profit 6. **Calculating Percentage Profit**: - The percentage profit is given by: \[ \text{Percentage Profit} = \left( \frac{\text{Profit}}{\text{Effective CP}} \right) \times 100 = \left( \frac{29.09}{90.91} \right) \times 100 \approx 32\% \] ### Final Answer The percentage profit earned by the shopkeeper is approximately **32%**. ---
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