# What will be the Profit of Tradesman? If

A tradesman marks his goods at 25 p.c. above the cost price. If he reduces the marked price by 25/2 p.c., then his profit will be

- 75/8 p.c.
- 38/5 p.c.
- 51/8 p.c.
- 16/3 p.c.

**Answer: (1) 75/8 p.c.**

**Explanation:-**

Let be the cost price of goods = Rs.100

A tradesman marks 25 % above the cost price.

Then, market price = 125

He reduced market price by 25/2%.

Then, Market price = 125 – 125 x 25/100 x 2

=7 x 125/8

Profit = 875/8 – 100

=(875 – 800)/8

= 75/8%

Hence, the answer is (1) 75/8 p.c.