Quantity I A shopkeeper marks up an item by 50 above the cost price and sold it after offering a dis...........

Quantitative Aptitude ( CCS) Arithmatic inequalities

Quantity I: A shopkeeper marks up an item by 50% above the cost price and sold it after offering a discount of 20%. The profit earned by shopkeeper is what % less than the profit earned by him, if he marks up the item by 75% above the cost price and offers a discount of 20%.

Quantity II: The area of the square built on the side of a square is what percentage less than the area of a square build on the diagonal of a square?

I =< II

I >= II

I > II

I = II or No relation

I < II

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Explanation:

From I: Let CP be Rs. x.
MP = Rs.1.5x
SP = 1.5x*0.8 = Rs.1.2x
Profit = 1.2x – x = Rs.0.2x
Also, CP be Rs.x.
MP = Rs.1.75x SP = 1.75x*0.8 = Rs.1.4x
Profit = 0.4x
Required% = (0.4x – 0.2x)/0.4x*100 = 50%
From II: Let ‘x’ be the side of the square.
Length of the diagonal of square = (2)^1/2a units
Area of square = a^2 units
Area of square built on side of square = [(2)^1/2a]^1/2 = 2a^2 units
Required% = (2a^2 – a^2)/2a^2 * 100 = 50%
I = II

Hence, option 4 is the correct answer.