Question

An article was sold at a loss of 12%. If it was sold for Rs. 630 more, then there would have been a gain of 6%. Find the cost price of the article. 
1. Rs. 3,500
2. Rs. 2,800
3. Rs. 2,500
4. Rs. 3,000

Answer 1

Correct Answer - Option 1 : Rs. 3,500

Given 

Selling price of article = Rs 630 

Formula used 

Cost price = (selling price)/(100 + profit%) × 100

Calculation 

Let the cost price of article 100x 

Sell at 12% loss  = 88x 

Sell at 6% gain = 106x 

106x - 88x = 630 

⇒ x = 630/18 = 35 

⇒ 100x = 100 × 35 = 3500 

∴ The cost price of article is Rs 3500