A merchant finds his profit as 20% of the selling price.

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A merchant finds his profit as 20% of the selling price. His actual profit percent is

Let the CP of the article be p and SP be q.
According to the question

q - p =	20q
	100

⇒ q -	q	= p
	5

⇒ 4q = 5p ...(i)

Actual profit % =	q - p	× 100
	p

Actual profit % =		4q - 4p	× 100 =	5p - 4p	× 100 = 25%
		4p		4p