A tradesman gives 4% discount on the marked price and gives 1 article free for buying every 15 articles and thus gains 35%. The marked price is increased above the cost price by ho... A tradesman gives 4% discount on the marked price and gives 1 article free for buying every 15 articles and thus gains 35%. The marked price is increased above the cost price by how much?
Understand the Problem
The question is asking us to determine how much the marked price (MP) has been increased above the cost price (CP) based on the information given about discounts and promotional offers.
Answer
The increase above the cost price is given by the formula $Increase = MP - CP$.
Answer for screen readers
The increase above the cost price is given by the expression $Increase = MP - CP$, where $MP$ and $CP$ are defined based on your specific values for marked price and cost price.
Steps to Solve
- Identify Given Information
We start by noting the values given in the problem. Let's say:
- Cost Price (CP) = $CP$
- Marked Price (MP) = $MP$
- Discount = $Discount$
- Calculate the Selling Price (SP)
To find the Selling Price (SP), we apply the discount to the Marked Price (MP). The formula is: $$ SP = MP - (MP \times \frac{Discount}{100}) $$
- Rearranging to Find Marked Price
If we have the Selling Price and the discount rate, we can rearrange the formula to find the Marked Price (MP): $$ MP = \frac{SP}{1 - \frac{Discount}{100}} $$
- Determine Increase Above Cost Price
Now, to find how much the Marked Price (MP) has increased above the Cost Price (CP), we compute: $$ Increase = MP - CP $$
- Substitute Known Values
Finally, we substitute the values of MP and CP into the equation from the previous step to find the increase.
The increase above the cost price is given by the expression $Increase = MP - CP$, where $MP$ and $CP$ are defined based on your specific values for marked price and cost price.
More Information
This problem involves understanding the relationship between cost price, marked price, and discounts. It emphasizes how sales promotions can alter perceived value and profitability.
Tips
- Confusing Selling Price with Marked Price; remember that Selling Price is after the discount.
- Forgetting to convert the discount percentage into decimal form when calculating reductions.
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