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A pen passing through two hands is finally sold at a profit of 44% of the original cost price. If the first dealer makes a profit of
20%, then the profit made by the second dealer is:
24%
36%
20%
27%
- Original cost price of the pen is denoted as 'C'.
- The first dealer sells the pen at a profit of 20%. Therefore, the selling price for the first dealer is 1.2C.
- The pen's final selling price is 44% profit over the original cost, which means the final selling price is 1.44C.
- Let the second dealer's cost price be the selling price of the first dealer, i.e., 1.2C.
- Second dealer's profit is calculated by comparing their selling price to their acquisition cost: ((1.44C - 1.2C) / 1.2C).
- This results in 0.24C / 1.2C = 0.2, or 20% of profit made by the second dealer.
?? Correct Answer: Option 3, 20%
By: santosh ProfileResourcesReport error
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