Question

By selling an article for Rs 7480, a garment dealer incurs a loss of 12%. At what price should he sell it, so that he earn a profit of 7%.
1. Rs. 8765
2. Rs. 8965
3. Rs. 9560
4. Rs. 9095

Answer 1

Correct Answer - Option 4 : Rs. 9095

Given

Selling price of garment = Rs. 7480

Loss = 12%

Formula used

Selling price = Cost price - Loss

Or selling price = Cost price + Profit

Calculation

Let the cost price is Rs. x

7480 = x - 12% of x

⇒ 7480 = 88x/100

⇒ x = (7480 × 100)/88

⇒ x = 8500

Profit = 7% of 8500

⇒ 595

New selling price = 8500 + 595

⇒ 9095

∴ Seller should sell the garment for Rs. 9095 to earn a profit of 7%.