A shopkeeper has two similar items to sell. He marks one item at a profit of 26% and sells at a discount of 20% on the marked price. He marks another item at a profit of 18% and sells it at a discount of 20% on the marked price. His overall gain/loss percentage in the transaction is:

1
2.4% of loss
2
3.2% of loss
3
3.2% of gain
4
2.4% of gain

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