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Profit, Loss and Discount
By selling an article at Rs.800, a shopkeeper makes a profit of 25%. At what price should he sell the article so as to make a loss of 25%?
Correct answer: B
Explanation and memory cue
The cost price (CP) of the article can be calculated using the selling price (SP) and profit percentage: CP = SP / (1 + profit%) = 800 / 1.25 = Rs.640. To make a loss of 25%, the selling price should be SP = CP × (1 - loss%) = 640 × 0.75 = Rs.480. Therefore, the shopkeeper should sell the article at Rs.480 to incur a 25% loss, which corresponds to option B.