A mobile phone retailer sells a phone for ₹P and earns a profit of 20%. For a special festive offer, he marks the same phone at ₹…

Question

A mobile phone retailer sells a phone for ₹P and earns a profit of 20%. For a special festive offer, he marks the same phone at ₹1.5P. At the offer, he provides a discount of 10%. What will be the percentage profit that he will make during the festive offer? (Answer expressed as a decimal.)

1. A. 0.26
2. B. 0.56
3. C. 0.62 (Correct answer)
4. D. 0.6

Correct Answer

Option C — 0.62

Detailed Solution & Explanation

The correct answer is 0.62.

Key Points

• Start from the known profit to recover the cost price. Selling at ₹P yields 20% profit, so:
  • CP = P / 1.2 = 5P/6 (about 0.8333P)
• Under the festive offer the marked price is 1.5P with a 10% discount:
  • SP = 1.5P × 0.9 = 1.35P
• Profit = 1.35P − 0.8333P = 0.5167P.
• Profit fraction = 0.5167P / 0.8333P = 0.62, i.e. about 62%.
• The answer is requested as a decimal, so 0.62 rather than 62 — read the required form before choosing, since both appear among the options in questions of this type.

Additional Information

• Work back from a stated profit to the cost price by dividing, not subtracting: CP = SP / (1 + profit%), so a 20% profit means dividing by 1.2, not taking 80%.
• Marked price, discount and profit interact through SP = MP × (1 − d) and profit % = (SP − CP)/CP.
• Read the required form of the answer — decimal, percentage or ratio. Questions of this type routinely offer both 0.62 and 62 among the options.

प्रश्न (हिन्दी में)

एक मोबाइल फोन रिटेलर एक फोन ₹P में बेचता है और 20% का लाभ कमाता है। एक विशेष त्योहारी ऑफर के लिए, वह उसी फोन को ₹1.5P पर अंकित करता है। ऑफर पर, वह 10% की छूट देता है। त्योहारी ऑफर के दौरान उसे कितना प्रतिशत लाभ होगा? (उत्तर दशमलव में।)

1. A. 0.26
2. B. 0.56
3. C. 0.62
4. D. 0.6