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Arun marks up the computer he is selling...

Arun marks up the computer he is selling by 20% profit and sellis them at a discount of 15%. Arun's net gain percent is

A

0.04

B

0.02

C

0.035

D

0.025

Text Solution

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The correct Answer is:
To find Arun's net gain percent when he marks up a computer by 20% and then sells it at a discount of 15%, we can follow these steps: ### Step 1: Determine the Cost Price (CP) Let the cost price of the computer be \( CP = 100 \) (this is a convenient choice for calculation). ### Step 2: Calculate the Marked Price (MP) Arun marks up the computer by 20%. - Marked Price (MP) can be calculated as: \[ MP = CP + (20\% \text{ of } CP) = 100 + (0.20 \times 100) = 100 + 20 = 120 \] ### Step 3: Calculate the Selling Price (SP) Arun sells the computer at a discount of 15% on the marked price. - Selling Price (SP) can be calculated as: \[ SP = MP - (15\% \text{ of } MP) = 120 - (0.15 \times 120) = 120 - 18 = 102 \] ### Step 4: Calculate the Net Gain Now, we can calculate the net gain: - Net Gain = Selling Price - Cost Price \[ \text{Net Gain} = SP - CP = 102 - 100 = 2 \] ### Step 5: Calculate the Net Gain Percent To find the net gain percent, we use the formula: \[ \text{Net Gain Percent} = \left( \frac{\text{Net Gain}}{CP} \right) \times 100 = \left( \frac{2}{100} \right) \times 100 = 2\% \] ### Final Answer Arun's net gain percent is **2%**.
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