A clothing store purchased a pair of pants for $81 and was selling it at a price that equaled the purchase price of the pants plus a markup that was 25 percent of the selling price. After some time a clothing store owner decided to decrease the selling price by 20 percent. What was the clothing store's gross profit on this sale?	Choose the correct choice from the following answers:	A) $14	B) $5.4	C) $4.4	D) $1.2	E) $5.0
Sale Price(SP) = 81 + Markup(MP)   --&gt; Mp = SP-81   and given MP=SP/4 ( 25% is 1/4th)   so SP/4= SP-81   3SP/4= 81   SP=108   Now a discount of 20% is given so NEW SP is .8 *108= 
<gadget id="calculator">.8 *108</gadget>
<output>86.4</output>
86.4   Profit=86.4-81= 
<gadget id="calculator">86.4-81</gadget>
<output>5.4</output>
5.4$   Answer is $5.4
<result>B</result>
A clothing store purchased a pair of pants for $81 and was selling it at a price that equaled the purchase price of the pants plus a markup that was 25 percent of the selling price. After some time a clothing store owner decided to decrease the selling price by 20 percent. What was the clothing store's gross profit on this sale?