Question

Kabir sold his old washing machine for Rs. 10500 which he bought 6 months before, on that washing machine he incurred a loss of 20%. To gain 20% profit at what price he needs to sell the washing machine.

1. 16550
2. 17240
3. 18000
4. 17650
5. 15750

Answer 1

Correct Answer - Option 5 : 15750

Given

Selling price of washing machine = Rs. 10500

Loss percentage on selling washing machine = 20%

Profit Kabir wants = 20%

Formula used

Cost price = (Selling Price × 100)/ (100 – percentage loss)

Selling Price = Cost Price × (100 + percentage profit)/100

Calculation

According to question

Cost price = (10500 × 100)/ (100 – 20)

⇒ Cost price = 1050000/80 = Rs. 13125

For gain profit of 20%

⇒ Selling Price = Cost Price × (100 + percentage profit)/100

⇒ Selling Price = 13125 × (100 + 20)/100 = Rs. 15750

∴ Selling price of the washing machine to gain 20% is Rs. 15750.