The sports shop spent $200 for the racquet, so they are -$200.
They sell it for 200*1.6 = $320
Ivan buys it at the store with a 25% discount: 320*.75 = $240
So the store receives $240 revenue from the sale. So deducting the $200 they spent to get the racquet in the first place, the shop made a total of:
$240 - $200 = $40 profit