A shopkeeper marked the price of an article a certain percent above the cost price and he allowed 16% discount to make 5% profit.If a customer paid Rs 9,492 with 13% VAT to buy the article, by what percent is the marked price above the cost price of the article?

Answer 1

percent/100 = p

[ (1+p) * cost ] [ 1-.16 ] = cost * 1.05
[ cost * 1.05 ] 1.13 = 9492

[ cost * 1.05 ] = 9492/1.13 = 8400
cost = 8400/1.05 = 8000

[ (1+p) * 8000] [ 1-.16 ] = 8400
[ (1+p) * 8000 ] = 8400/.84 = 10,000
1+p = 1.25
p = .25
percent = 100 p