A shopkeeper gives two consecutive discounts of 10% and 5% respectively on his items. He then adds 20% GST on his items. If an item has marked price ₹2,000, how much more or less of the actual price of the item a customer has to pay?
2·6% less
2·6% more
Same price
5·2% more
Answer is Right!
Answer is Wrong!
This question was previously asked in
UPSC CAPF – 2021
Price after 1st discount (10%): ₹2000 * (1 – 0.10) = ₹2000 * 0.90 = ₹1800.
Price after 2nd discount (5%): ₹1800 * (1 – 0.05) = ₹1800 * 0.95 = ₹1710. This is the price before GST.
Price after adding 20% GST: ₹1710 * (1 + 0.20) = ₹1710 * 1.20 = ₹2052.
The final price paid by the customer is ₹2052.
The original marked price was ₹2000.
Difference = Final Price – Marked Price = ₹2052 – ₹2000 = ₹52.
The customer pays ₹52 more.
Percentage difference = (Difference / Marked Price) * 100 = (52 / 2000) * 100 = (52/20) = 2.6%.
The customer pays 2.6% more than the actual (marked) price.