CMAT 2020 Solved Question Paper

Let cost price of each article $=$ Rs. 100 and number of articles sold be $\mathit{x}$
$\Rightarrow$ Original selling price price $=$ Rs. 125
$\Rightarrow$ Original profit $=$ Rs. $\left(125-100\right)\mathit{x}=\mathit{R}\mathit{s}.25\mathit{x}$
After offering discount of $8\%,$
=> New selling price $=\frac{92}{100}\times 125=\mathit{R}\mathit{s}.115$
Also, new cost price $=\frac{95}{100}\times 100=\mathit{R}\mathit{s}.95$
$\because$ Sale increases by $25\%,=>$ Number of articles now sold $=1.25\mathit{x}$
$\Rightarrow$ New profit $=$ Rs. $\left(115-95\right)\times 1.25\mathit{x}=\mathit{R}\mathit{s}.25\mathit{x}$
$\therefore$ There is no change in profit.