A dealer buys an article marked ₹40,000 with successive discounts of 20% and 10%. He spends ₹1,200 on repairs and then sells it for ₹30,000. What is his overall result (gain or loss percentage)?

Introduction / Context:Successive discounts multiply, not add. After applying both discounts to the marked price, we add repair costs to determine the effective cost. Comparing the final selling price with this effective cost yields the net result.

Given Data / Assumptions:

• Marked price = ₹40,000.
• Discounts: 20% then 10% (successive).
• Repairs = ₹1,200.
• Selling price = ₹30,000.

Concept / Approach:Effective purchase price = 40,000 * 0.80 * 0.90. Total cost = effective purchase price + repairs. Compare with SP for gain/loss%: (SP − total cost) / total cost * 100.

Step-by-Step Solution:Purchase price = 40,000 * 0.80 * 0.90 = 40,000 * 0.72 = ₹28,800Total cost = 28,800 + 1,200 = ₹30,000Net result = SP − total cost = 30,000 − 30,000 = 0 → no gain, no loss

Verification / Alternative check:Discount equivalence: 20% and then 10% equals 28% overall only if mis-added; the correct multiplicative approach gives 28.8% off, matching ₹28,800.

Why Other Options Are Wrong:10% gain or loss do not align with the exact parity between total cost and SP.

Common Pitfalls:Adding discounts linearly; forgetting to include repair costs when computing the effective base cost.

Final Answer:No gain no loss