📖 Chapter 8 of 11 · Smart Money Basic (Multi Indian Language) · Class 4–7
Chapter 7 · Smart Shopping and the MRP
Every time you go to a shop, you are taking decisions with money. A smart shopper does not just grab the first thing on the shelf. A smart shopper looks at the price, the weight, the expiry date, and most importantly — the MRP.
What is the MRP?
MRP stands for Maximum Retail Price. It is the highest price a shopkeeper can legally charge you for any packaged product. It is printed right on the packet. The shopkeeper can give you a discount and charge less — but never, never more.
Key Word
MRP = Maximum Retail Price — the highest amount a shop can legally charge you for a packaged product. Never pay more than the printed MRP.
Story Time — Lakshmi the Smart Shopper
Lakshmi · Madurai, Tamil Nadu
Twelve-year-old Lakshmi from Madurai loved supermarket trips with her amma. One Saturday, amma was rushing — they had only fifteen minutes before the bus home. “Quickly, get one packet of biscuits and one packet of namkeen,” amma said.
Lakshmi grabbed the first biscuit packet she saw — ₹40. Then she paused. There was another brand right next to it, also 200 grams, but priced ₹30. Same weight, ₹10 less! She put back the first one and picked the cheaper packet.
At the checkout, the bill showed ₹45 for the namkeen. Lakshmi flipped the packet. The MRP was clearly printed: ₹42. “Excuse me, sir,” she said politely. “The MRP on this packet is ₹42, not ₹45.” The cashier looked, smiled, and corrected the bill. “Smart girl. You just saved your mother ₹3.”
On the bus home, amma said, “Lakshmi, three rupees today, three rupees next week — by the end of the year, that is hundreds of rupees!”
Solved Examples
Think first, then read the answer!
1. Packet A: 200 g of biscuits for ₹40. Packet B: 200 g for ₹30. Which is cheaper and by how much?
Show answer
Answer: Both weigh the same (200 g), so just compare prices: ₹40 − ₹30 = ₹10. Packet B is cheaper by ₹10. Always compare same-weight packets!
2. A bottle of juice has MRP ₹80. The shopkeeper wants ₹90. Is this legal? What should you do?
Show answer
Answer: No — MRP is the MAXIMUM allowed. Charging ₹90 is ₹10 above the MRP, which is illegal. Pay only ₹80, or do not buy it. You can report the shop to the National Consumer Helpline (1915).
3. A 500 g packet of sugar costs ₹25. A 1 kg packet of the same sugar costs ₹45. Which gives better value?
Show answer
Answer: Two 500 g packets = 2 × ₹25 = ₹50, but one 1 kg packet costs only ₹45. Saving = ₹5 per kg. The bigger 1 kg packet is better value.
4. A shop offers “Buy 2, Get 1 Free” on ₹50 chocolate bars. If a customer buys 4 bars, how many free bars, and what is the price per bar?
Show answer
Answer: For every 2 bought, 1 is free, so 4 bought → 2 free → 6 bars in all. Total paid = 4 × ₹50 = ₹200. Price per bar = ₹200 ÷ 6 = about ₹33.33 (a saving of about ₹16.67 per bar).
Three habits of a smart shopper
1. Check the MRP. Always look at the price printed on the packet, not just the tag on the shelf. 2. Compare weight, not just price. A “cheaper” packet may have less in it. 3. Check the expiry date. An expired packet of chips is no bargain at any price!
Check Your Understanding
Q1. Define MRP in one full sentence.
Q2. Can a shopkeeper sell a product for less than MRP? Can he sell it for more?
Q3. A pen has MRP ₹30. A shopkeeper offers it for ₹25. Is this allowed? Is it a good deal?
Q4. Packet X: 250 g for ₹50. Packet Y: 500 g for ₹90. Which is better value per gram?
Q5. List three things you should check before buying any packaged item.
Q6. Which national helpline number lets you report a shop that overcharges above MRP?
Check your understanding — Chapter 7
Tap an answer to check it instantly. These are for practice — nothing is saved or sent.
Q1. What does MRP stand for?
- Money Received Properly
- Maximum Retail Price
- Market Rupee Plan
Show answer
B. Maximum Retail Price
Q2. Can a shop charge more than the MRP?
- Yes, if the product is in demand
- No — never more than the MRP
Show answer
B. No — never more than the MRP
Q3. Two 200 g biscuit packets cost ₹40 and ₹30. Which is the smart pick?
- The ₹30 packet — same weight, less money
- The ₹40 packet — costlier must be better
Show answer
A. The ₹30 packet — same weight, less money