Question

Articles are sold by salesman at the 9% above cost price. Had the article been bought for price 8% less and sold for Rs. 11 less, the salesman would have made profits of 18%. Calculate the original cost price of article.
1. Rs. 2,500
2. Rs. 2,750
3. Rs. 3,500
4. Rs. 3,000

Answer 1

Correct Answer - Option 1 : Rs. 2,500

Given:

Articles are sold by salesman at the 9% above cost price.

Had the article been bought for price 8% less and sold for Rs. 11 less, the salesman would have made profits of 18%.

Concepts used:

Profit % = (Profits/C.P.) × 100

S.P. = C.P. + Profits

Calculation:

Let C.P. of article be Rs. x.

⇒ S.P. = x + (9x/100) = 109x/100

Had article been purchased for 8% less and sold for Rs. 11 less, individual A would have made profits of 18%.

New C.P. = x – (8x/100) = 23x/25

New S.P. = (109x/100) – 11 = (109x – 1,100)/100

⇒ Gain % = 18

⇒ 18 = [{(109x/100) – 11 – (23x/25)}/(23x/25)] × 100

⇒ 18 = {(17x/100) – 11}/(23x/25) × 100

⇒ x = Rs. 2,500

∴ Original cost price of article is Rs. 2,500.