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A trader sells his goods at a discount 20%. He still makes a profit of 25%. If he sells the goods at the marked price only, his profit will be:

a) 25.56%
b) 56.25%
c) 50.25%
d) 54.25%

Answer: b
Explanation: Let the marked price = Rs. 100
Then, S.P = 100 – 20% of 100 = Rs. 80
Profit = 25%
Let C.P = X
S.P = 80
X + 25% of X = 80
Hence, X = Rs. $$\frac{{100 \times 80}}{{125}}$$  = Rs. 64
C.P = Rs. 64
Profit after selling on marked price = 100 – 64 = Rs. 36
% gain = $$\frac{{36 \times 100}}{{64}}$$  = 56.25%

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