A merchant sells an item at a 20% discount, but still makes : Quant Question Archive [LOCKED]
Check GMAT Club Decision Tracker for the Latest School Decision Releases http://gmatclub.com/AppTrack

 It is currently 19 Jan 2017, 19:27

### GMAT Club Daily Prep

#### Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

# Events & Promotions

###### Events & Promotions in June
Open Detailed Calendar

# A merchant sells an item at a 20% discount, but still makes

Author Message
Manager
Joined: 05 Sep 2007
Posts: 144
Location: New York
Followers: 1

Kudos [?]: 36 [0], given: 0

A merchant sells an item at a 20% discount, but still makes [#permalink]

### Show Tags

21 Oct 2007, 12:59
This topic is locked. If you want to discuss this question please re-post it in the respective forum.

A merchant sells an item at a 20% discount, but still makes a gross profit 20%of the cost. Wht % of the cost would the gross profit on the item have been if it had been sold without the discount?
Director
Joined: 11 Jun 2007
Posts: 931
Followers: 1

Kudos [?]: 175 [0], given: 0

### Show Tags

21 Oct 2007, 13:15
el1981 wrote:
A merchant sells an item at a 20% discount, but still makes a gross profit 20%of the cost. Wht % of the cost would the gross profit on the item have been if it had been sold without the discount?

so i would approach it this way:

starting point, jot down what you know by using abstract easy numbers (all we want is the %):
selling price: $100 discount price sold:$80
80 = 1.2 of cost price (since gross profit = 20%)

x = cost price
80 = 1.2x
x = $66.67 if merchant sold it w/o discount would have been$100 instead of \$80
so new gross profit = 100- 66.67 = 33.33 / 66.67 = 50%
Re: Percent   [#permalink] 21 Oct 2007, 13:15
Display posts from previous: Sort by