MasteryExams
Quantitative Aptitude • Percentage, Profit & LossHard

A trader marks goods 25% above the cost price and then gives a discount of 20% on the marked price. What is the overall result?

A. 2% loss
B. No profit, no loss✓ Correct Answer
C. 5% profit
D. 45% profit

💡 Solution & Explanation

Take the cost price as 100. The marked price is 125. A 20% discount on 125 is 25, so the selling price is 100. Compared with the cost of 100, that is no profit, no loss. Subtracting the percentages (25 − 20 = 5) is a common mistake, because the discount is on the higher marked price.

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