DIRECTIONS for the question:Solve the following question and mark the best possible option.
A trader buys 240 watches for Rs.50,400 and he marks each of them at Rs. 320. He gives a discount of 15% on each watch and gives 1 watch free on a purchase of 5 watches. What is his minimum possible overall percentage of profit?
A)
5.9%
B)
6.1%
C)
6.6%
D)
7.2%
E)
7.9%
E
Trader buys 240 watch for 50,400
MP of each watch = 320
SP of each watch, after 15% discount = 272
He'll attain minimum profit if he has to give away 1 free watch for every 5 watches, (1 out of 6)
Therefore he received SP of 200 watches and give 40 for free
SP = 272*200 = 54,400
Profit = 4000
Profit % = (4000/50400)* 100 = 7.93%
