As part of a clearance sale, a factory is selling 4 different products at discounts of 5%, 10%, 20%, and 25%, respectively, to a retailer. The retailer then sells all these products at a flat 10% discount to the consumers.

What could be the actual profit or loss made by the retailer?



Answer :

Final answer:

To calculate the retailer's profit or loss, consider the discounts given and the total cost versus revenue from the sales.


Explanation:

The actual profit or loss made by the retailer can be calculated by considering the discounts given by both the factory and the retailer.

After applying the discounts, the retailer's effective discount to the consumers would be 10%, resulting in a price lower than the original market price.

To determine the profit or loss, the retailer needs to compare the total cost of purchasing the products at discounted rates from the factory with the total revenue generated from selling them at the lower price to consumers.


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