Two merchants sell, each an article for Tk. If Merchant A computes his profit on cost price, while Merchant B computes his profit on selling price, they end up making profits of 25% respectively. By how much is the profit made by Merchant B greater than that of Merchant A?
A 66.67
B 50
C 125
D 200
Solution
Correct Answer: Option B
A's cost price = x tk
25% of x = 1000
x=800
A's profit = 1000-800 =200
B's profit = 25% of 1000 = 250 tk
B's profit greater than that of Merchant A = 250-200 =50 tk
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